Ukrainian pork exports have shown a sharp rise in 2011, with the first quarter reaching 4.3 thousand metric tons exported, mostly to Russia.
Exports increased largely because the domestic market couldn't absorb an increase in production in 2010, according to A. Yaroslavsky, deputy director general of the Ukrainian Agrarian Confederation. "Purchase prices for hogs fell and companies engaged in growing pigs in 2010 were losses," said Yaroslavsky. "The level of profitability of their activities amounted to -7.4%. In this situation, the only salvation for the industry was increasing exports."
In January through March 2011, pork imports decreased by 50% compared to the same period last year. At the same time, there was a 12% increase in the import of by-products, indicating an increase in demand from refineries for low-grade, relatively cheap raw materials.