UKRAINE: MEAT PROCESSORS INCREASED PRODUCTION BY 7.7%

UKRAINE: MEAT PROCESSORS INCREASED PRODUCTION BY 7.7%

ACCORDING TO THE ANALYTICS DEPARTMENT OF THE “UKRAINIAN PIG FARMERS” ASSOCIATION, IN JANUARY-MAY 2017, THE MEAT PROCESSING SECTOR IN UKRAINE INCREASED THE PRODUCTION VOLUMES OF MEAT AND MEAT PRODUCTS BY 7.7% COMPARED TO THE PREVIOUS YEAR.

The Association’s data showed that during the first five months of the current year, the production volume of meat and meat products was 719.8 ths t, exceeding the results of January-May 2016 by 51.5 ths t.

The Association also explained that the biggest driving force behind this growth was the increase in the production of fresh and chilled poultry by more than a quarter, amounting to almost 63% of the total meat production.

The decrease in frozen poultry production by 24% slightly reduced the compound growth rate of poultry processing but it failed to balance it, analysts said.

“Cattle meat processing was also more active than last year: chilled beef production increased by 12.1% compared to the first five months of 2016, while frozen beef production increased by 32.9%. However, it didn’t have a significant positive effect on the total meat output because the share of beef was 4.5%”, the Association said.

The analysts also said that the pork processing results decreased as expected, but only by 1% due to the reduced chilled meat output. At the same time, the production of frozen, salt, smoked, dried pork and bran remained virtually unchanged.

“It should be noted, however, that early this summer, the stock volume of chilled pork in meat processing companies were larger than last year, amounting to almost 11% of the monthly processing volume. However, the stock quantity of frozen pork in meat processing plants decreased by almost 45% as a result of higher purchase prices that didn’t allow the operators to create a “security fund”, the analysts also explained.

According to the Association’s data, one of the less noticeable but definitely positive changes was the sausage production recovery.

Specifically, during the period in question, meat processors produced 94.3 ths t of sausages, which is by 4.6% more than in January-May, 2016. This growth has been stopped by the relevant decrease in canned meat output. However, the production recovery included not only cooked sausages but also semi-smoked sausages, uncooked smoked sausages, cooked and smoked sausages, baked and smoked sausages and jerked sausages.

It indicates that in the spring time, the manufacturers have had positive expectations about the consumer activity, the Association explained.

It was previously announced that the retail prices of pork decreased.

Source: www. meatinfo.ru