Imports of live pork to Ukraine are not profitable, - Chairman of the Board of Directors of KSG Agro Sergiy Kasianov
Imports of live pork in Ukraine are not profitable under the current exchange rate realities. This was stated by the Chairman of the Board of Directors at KSG Agro Sergiy Kasianov, as quoted by the press service of the agricultural holding.
Import of pork to Ukraine at the current fixed dollar exchange rate can be economically feasible at a price not lower than 65 UAH/kg in live weight. So, it is now more profitable to raise pigs in the country," said Sergiy Kasianov, Chairman of the Board of Directors at KSG Agro.
In his opinion, if prices for live pigs exceed this price point, the situation of the previous few years, when Ukrainian meat processing plants processed mainly imported raw meat, may become a reality.
Commenting on the situation on the pork market, the farmer emphasized that due to the shutdown of many enterprises in Donetsk and Kharkiv regions as a result of the war, competition among producers has significantly decreased. Due to the decrease in supply, demand for pigs has increased, and due to the unprofitable imports, it has become more profitable to produce pork in Ukraine.
However, according to Mr Kasianov, it is very difficult for Ukrainian pork producers to compete with European pig farms, which receive subsidies from the EU budget, while in Ukraine, livestock producers are deprived of state support.
The Chairman of the Board of Directors at KSG Agro has added that access to the EU market is not easy because it has much stricter quality standards, more complex logistics and very difficult product certification, so it requires a lot of effort from Ukrainian producers. "It's great that the doors to the EU are open, but we need to be prepared to enter. We also need the government to work with our producers and processors and support them despite the war," he summarized.