Meat production in Russia continues to grow, but the rate of growth reduced to such conclusion analysts of ICARUS.

According to the Institute of conjuncture of the agrarian market, the end of the 2nd quarter of 2015 in all categories of farms are as follows: produced 517 thousand tons of beef (-4,9% analog. period 2014), 879 thousand tons of pork (+2% analogue. the period in 2014) and 1.43 million tons of poultry meat (+4,8% to analogue. the period of 2014) in live weight. Thus in relation to the 1st quarter of the current year the growth of production occurred only in the sector of poultry meat is only 1%, but the production of beef decreased by 8%, pork – by 0.6%.

These figures are markedly lower compared with those in 2013 or 2014. This fact indirectly confirms the work of the meat industry in the falling market, and declining incomes, which is reflected in the reduction of production capacity.

Based on current statistics, ICARUS concludes that in the 2nd quarter of the production site in the meat industry were underutilized with the aim to avoid the effect of serious overproduction and falling prices on the meat market.

However, as the recovery of the Russian economy, real incomes and rising purchasing power will continue to grow and meat production, which in the long run will put pressure on domestic prices.

As a result, for the Russian meat industry will be characterized by trends of the world market, where under the influence of different groups of factors, including the growth of meat production, meat prices have been declining since last August, when he was passed the peak of their growth. But to date, the ratio of prices for meat, demand and production levels in Russia can be called the equilibrium and optimal given current trends in the food market.