24 Jul 2009 18:58

Sales of foodstuffs in Russia drop 1.3% in H1

MOSCOW. July 24 (Interfax) - Total sales of foodstuffs in Russia in the first half of the year dropped by 1.3%, the Economic Development Ministry said in a report published on Friday.

Experts said that a crisis in consumer demand helped favor so-called staple products (absolute necessity).

On the meat market, experts noted an increase in cheaper poultry goods. In the first half, demand for these meats increased by 10% while production went up by 11.3%.

The report said that the share of poultry in total meat production (for cattle and poultry) reached 56.4% in the first half.

Experts also said that bans on the import of pork implemented by Rosselkhoznadzor owing to the swine flue situation helped motivate domestic hog production. Hog output increased by 15% in the period. Also playing an important role in this was a reduction in import quotas, as well as changes in the ruble's rate, which meant imports increased in price.

Beef production in the first half fell by 12.9%.