22 Jan 2025 10:48

Russian govt ready to restrict food exports to maintain stability on domestic market - Deputy PM Patrushev

MOSCOW. Jan 22 (Interfax) - The Russian government is ready to restrict food exports if the situation does not favor stability on the domestic market, Deputy Prime Minister Dmitry Patrushev said on Wednesday at the 16th congress of the Union of Milk Producers in Moscow.

"Control over the economical availability of basic food products continues. Moreover, if the situation develops against the stability of our own market, then we have levers to affect it, and this involves possibly restricting exports. However, one must agree that we do not wish suddenly to lose those markets that we have entered together for so many years," he said.

"But once again, I want to emphasize that the state's priority is clear: ensuring a fully-fledged food supply for our citizens. At the same time we are, of course, focusing on domestic producers and increasing self-sufficiency. Therefore, we need to continue expanding domestic production, steadily working towards achieving the target set by the Food Security Doctrine for milk," he said.

Speaking about the current situation, Patrushev said that the dairy industry's performance continues to grow steadily. According to preliminary data, milk production reached 34 million tonnes in 2024. "Year-on-year, that's an increase of 200,000 tonnes, which aligns with previously announced forecasts," he said. "Traditionally, the largest share - about 70% of the total volume - comes from the organized sector."

Exports are also increasing, Patrushev said. "As of today, our milk and dairy products have access to markets in more than 90 countries. In 2024, several more markets were opened, including Kuwait, Bangladesh and Syria," he said.

Nevertheless, the key driver of growth is domestic demand for dairy products, which continues to rise annually, he said. Per capita consumption increased by more than 2% last year.

"Accordingly, our collective task is to account for this and fully supply the market with all types of products at affordable prices. Balance is very important here. It's not acceptable to increase production of one category at the expense of another. Everyone must closely monitor demand," he said. "Otherwise, dear colleagues, we will be forced to intervene." A tariff exemption on imports of up to 25,000 tonnes of butter remains in effect until June 15 this year, he said.