EU imports of Ukrainian chicken soar after quota lifted, French group says
PARIS (Reuters) – The lifting of European Union customized duties on Ukrainian items led to a soar in poultry imports that has benefited a single firm moderately than Ukrainian farmers, French poultry makers mentioned on Wednesday, asking for the momentary transfer to not be renewed.
The EU in June briefly lifted tariffs to assist the war-torn nation and suspended quotas of Ukrainian agricultural merchandise, together with one for 70,000 tonnes of Ukrainian poultry a yr.
Ukrainian rooster imports into the EU jumped 54% year-on-year within the second quarter to about 52,000 tonnes, French poultry group Anvol mentioned on Wednesday, forecasting the overall quantity for 2022 at between 130,000 and 180,000 tonnes.
In France alone the rise within the second quarter was 181%.
The competitors from elevated imports comes because the sector is already affected by a surge in prices as a result of excessive grain costs and rocketing power costs.
“We acquired tricked,” Anvol Deputy Chairman Gilles Huttepain advised reporters. “We’re okay to assist Ukrainian farmers however we do not need to assist only one firm.”
Huttepain was referring to MHP, by far Ukraine’s largest poultry meat producer and exporter and the nation’s prime meals producer.
MHP’s operations are vertically built-in – from feed grains and fodder manufacturing to egg hatching, processing and gross sales, it says on its web site.
In June, the rooster and grains processor mentioned its poultry manufacturing capability had been decreased to 80-85% of regular ranges as a result of battle and it couldn’t give a monetary outlook for the yr.
The rise of Ukrainian rooster exports to the EU was additionally linked to a fall in shipments in direction of the Center East as a result of stalled maritime site visitors on the Black Sea, the French group mentioned.
Hen imports in France have been boosted additional by a drop in native output after producers needed to cull greater than 19 million birds within the nation’s worse-ever hen flu disaster and robust competitors from cheaper origins. Imports from Brazil had been 122% greater within the second quarter, they mentioned.
An Ukrainian rooster breast is bought at practically half the worth of a French one, Anvol mentioned.
EU customs exemptions on Ukrainian items are solely legitimate for one yr and the European Fee mentioned it reserved the best to additional impose duties within the occasion of damage to the merchandise of European producers.
MHP didn’t instantly reply a Reuters request to remark.
(Reporting by Sybille de La Hamaide;Modifying by Elaine Hardcastle)
