Voluntary Report - public distribution

**Date:** 4/5/2006

**GAIN Report Number:** RS6018

RS6018

**Russian Federation**

**Livestock and Products**

**Russia Distributes Beef and Pork TRQs**

**2006**

**Approved by:**

![](media/image1.wmf)Kimberly Svec

American Embassy, Moscow

**Prepared by:**

Erik Hansen and Mikhail Maksimenko

**Report Highlights:**

The Ministry of Economic Development and Trade recently distributed 100
percent of beef and pork tariff rate quotas (TRQs) in accordance with
resolution No. 732, issued on December 5, 2005. New companies not on the
list that would like to import beef and pork will not be given the
opportunity to do so as stated in the new resolution. Poultry TRQs will
be distributed soon according to MEDT officials.

Includes PSD Changes: No

Includes Trade Matrix: No

Unscheduled Report

Moscow \[RS1\]

\[RS\]

# 

# Summary {#summary-1}

On March 29, 2006, the Ministry of Economic Development and Trade (MEDT)
published an official list of meat traders and determined the level of
import duties for beef and pork products for 2006. In accordance with
resolution No. 732, new companies interested in importing beef and pork
products will not be given the opportunity to do so since the auction
format used in previous years has been removed. MEDT is expected to
publish new poultry TRQs shortly.

# Basis for Distribution

MEDT, in accordance with resolution No. 732 dated December 5, 2005, "On
Imports of Beef, Pork and Poultry Meat in 2006-2009" (see attached)
published an official list of foreign meat trade participants and
determined the level of import duties for beef and pork products for
2006 including HS Codes No. 0201, 0202 and 0203. The distribution is
expected to take place until April 15, 2006 and is calculated
proportionally to the annual volumes of beef, pork or poultry imported
by these participants into the Russian customs territory from January 1
through December 31 of the previous year, subtracting 25 percent of
beef, pork or poultry volumes distributed in December of the previous
year proportionally to the beef, pork or poultry volumes imported by
these participants to the Russian customs territory from January 1
through September 30 of the previous year, with the exception of beef,
pork or poultry originated and imported from CIS member states.

Starting September 15, 2006, licenses will be issued for importing beef,
pork and poultry volumes not used as of August 1 of the current year on
the basis of applications filed by participants that received licenses
for importing beef, pork and poultry until August 1, 2006.

Validity of the import licenses for beef, pork and poultry issued in
accordance with point 4 of this resolution is set until December 31.
Extensions to the licenses beyond that date are not permitted.

# Comments 

Meat importers are not complaining about the results of the meat TRQ
distribution this year. It appears that the process was done in
accordance with the resolution and volumes of meat allocated for each
particular company was found to be acceptable. New companies interested
in importing beef and pork products will not be permitted to do so since
the auction format used in previous years has been removed. In the past,
10-15 percent of TRQs were traded at auctions where newcomers could buy
bids and create a historical reference for future distributions. That is
no longer the case. MEDT is still working on the poultry TRQ
distribution and the list of poultry traders. The results will be
published soon according to MEDT officials.

# Unofficial Embassy Translation of Resolution No. 732

Begin Translation:

The Resolution of the Russian Federation Government dated December 5,
2005, No. 732, Moscow "On Imports of Beef, Pork and Poultry Meat in
2006-2009". The resolution comes into effect beginning January 1, 2006.

To ensure conditions favorable for the stable development of the Russian
production of beef, pork and poultry in 2006-2009, the Russian
government rules:

1.  To approve the list of commodities and the import volumes to the
    Russian Federation for 2006-2009 according to Attachment 1.

2.  Annually, the Ministry of Economic Development and Trade (MEDT)
    shall submit import customs duty rates for the period of 2006-2009
    within the limits according to Attachment 2 to Russian government
    for approval in accordance with the established procedures.

3.  The Federal Customs Service shall clear through customs the
    commodities identified in Attachment 1 to this resolution that will
    be imported from 2006-2009 in accordance with the customs release
    procedures for domestic consumption on the basis of licenses issued
    by MEDT according to the established procedures.

4.  MEDT shall implement within 5 days from the day the application is
    submitted in accordance with the established procedures:

> \- Beginning December 15 of the previous year until August 1 of every
> next year, licenses shall be issued for importing 100 percent of the
> amount of commodities identified in Attachment 1 to this resolution to
> meat traders involved in importing cattle meat, fresh or chilled,
> frozen, codes 0201 and 0202 (hereinafter -- beef), fresh, chilled or
> frozen pork, code 0203 (hereinafter -- pork), and poultry meat, code
> 0207 (hereinafter -- poultry) in the previous year, in accordance with
> the customs release procedures for domestic consumption; with
> distributing until April 15 of the current year proportionally to the
> annual volumes of beef, pork or poultry imported by these participants
> into Russian customs territory from January 1 through December 31 of
> the previous year, subtracting 25 percent of beef, pork or poultry
> volumes distributed in December of the previous year proportionally to
> the beef, pork or poultry volumes imported by these participants to
> the Russian customs territory from January 1 through September 30 of
> the previous year, with the exception of beef, pork or poultry
> originated and imported from CIS member states;
>
> \- Beginning September 15 of the current year, import licenses will be
> issued for beef, pork and poultry volumes not used as of August 1 of
> the current year on the basis of applications filed by meat traders
> who received licenses for importing beef, pork and poultry until
> August 1 of the current year, proportionally to beef, pork or poultry
> volumes that they had imported into Russian customs territory from
> January 1 through December 31 of the previous year, with the exception
> of beef, pork or poultry originated and imported from CIS member
> states.

5.  Validity of licenses for importing beef, pork and poultry issued in
    accordance with point 4 of this resolution is set until December 31
    and extensions are not permitted.

6.  The following documents shall be considered invalid:

    -   The Russian government resolution of January 23, 2003, No. 48
        "On Measures for the Russian Poultry Industry Protection"
        (Compiled statutes of the Russian Federation, 2003, No. 5
        Article 487);

    -   The Russian government resolution of June 19, 2003, No. 348 "On
        Introducing Changes to the Russian government resolution, dated
        January 23, 2003, No. 48 "On Measures for the Russian Poultry
        Industry Protection" (Compiled Statutes of the Russian
        Federation, 2003, No. 25 Article 2531);

    -   The Russian government resolution of November 29, 2003, No. 724
        "On Peculiarities of Applying Special Protection Measures with
        Respect to Poultry Meat" (Compiled statutes of the Russian
        Federation, 2003, No. 49, Article 4777);

    -   The Russian government resolution of December 30, 2004, No. 880
        "On Peculiarities of Applying Special Protection Measures with
        Respect to Poultry Meat in 2005" (Compiled statutes of the
        Russian Federation, 2005, No. 1, Article 124);

    -   The Russian government resolution of November 8, 2005, No. 663
        "On Introducing Changes to the Russian Government" dated January
        23, 2003, No. 48 and December 30, 2004, No. 880 (Compiled
        statutes of the Russian Federation, 2005, No. 46, Article 4678).

7.  This Resolution went into effect on January 1, 2006.

The Russian Federation Prime Minister Mikhail Fradkov

Attachment No. 1 of resolution No. 732:

List of commodities and import volumes to the Russian Federation
2006-2009, 1,000 MT

+-------------+-------------+-------------+-------------+------------+
| Commodity   | 2006        | 2007        | 2008        | 2009       |
+-------------+-------------+-------------+-------------+------------+
| 1\. Beef,   | 27.8        | 28.3        | 28.9        | 29.5       |
| fresh or    |             |             |             |            |
| chilled,    |             |             |             |            |
| codes 0201  |             |             |             |            |
+-------------+-------------+-------------+-------------+------------+
| Including   |             |             |             |            |
+-------------+-------------+-------------+-------------+------------+
| EU          | 27.3        | 27.8        | 28.4        | 29         |
+-------------+-------------+-------------+-------------+------------+
| Other       | 0.5         | 0.5         | 0.5         | 0.5        |
|             |             |             |             |            |
| Countries   |             |             |             |            |
+-------------+-------------+-------------+-------------+------------+
| 2\. Beef,   | 435         | 440         | 445         | 450        |
| frozen,     |             |             |             |            |
|             |             |             |             |            |
| codes 0202  |             |             |             |            |
+-------------+-------------+-------------+-------------+------------+
| Including   |             |             |             |            |
+-------------+-------------+-------------+-------------+------------+
| EU          | 343.7       | 347.6       | 351.6       | 355.5      |
+-------------+-------------+-------------+-------------+------------+
| USA         | 17.9        | 18.1        | 18.3        | 18.5       |
+-------------+-------------+-------------+-------------+------------+
| Paraguay    | 3           | 3           | 3           | 3          |
+-------------+-------------+-------------+-------------+------------+
| Other       | 70.4        | 71.3        | 72.1        | 73         |
|             |             |             |             |            |
| Countries   |             |             |             |            |
+-------------+-------------+-------------+-------------+------------+
| 3\. Pork,   | 476.1       | 484.8       | 493.5       | 502.2      |
| fresh,      |             |             |             |            |
| chilled or  |             |             |             |            |
| frozen,     |             |             |             |            |
| 0203        |             |             |             |            |
+-------------+-------------+-------------+-------------+------------+
| Including   |             |             |             |            |
+-------------+-------------+-------------+-------------+------------+
| EU          | 240.5       | 244.9       | 249.3       | 253.4      |
+-------------+-------------+-------------+-------------+------------+
| USA         | 54.8        | 49.0        | 49.8        | 50.7       |
+-------------+-------------+-------------+-------------+------------+
| Paraguay    | 1           | 1           | 1           | 1          |
+-------------+-------------+-------------+-------------+------------+
| Other       | 179.8       | 189.9       | 193.4       | 197.1      |
|             |             |             |             |            |
| Countries   |             |             |             |            |
+-------------+-------------+-------------+-------------+------------+
| 4\. poultry | 1,130.8     | 1,171.2     | 1,211.6     | 1,252      |
| meat and    |             |             |             |            |
| offal,      |             |             |             |            |
| fresh,      |             |             |             |            |
| chilled or  |             |             |             |            |
| frozen,     |             |             |             |            |
| code 0207   |             |             |             |            |
+-------------+-------------+-------------+-------------+------------+
| Including   |             |             |             |            |
+-------------+-------------+-------------+-------------+------------+
| EU          | 220.6       | 228.6       | 236.4       | 244.4      |
+-------------+-------------+-------------+-------------+------------+
| USA         | 841.3       | 871.4       | 901.4       | 931.5      |
+-------------+-------------+-------------+-------------+------------+
| Paraguay    | 5           | 5           | 5           | 5          |
+-------------+-------------+-------------+-------------+------------+
| Other       | 63.9        | 66.2        | 68.8        | 71.1       |
|             |             |             |             |            |
| countries   |             |             |             |            |
+-------------+-------------+-------------+-------------+------------+

Attachment No. 2 to resolution #732:

Level of import duties for 2006-2009, (in percent of custom value or in
Euros)

  -------------- -------------- -------------- -------------- --------------
  Commodity      2006           2007           2008           2009

  1\. Beef,                                                   
  fresh or                                                    
  chilled, codes                                              
  0201                                                        

  Within quota   15%, but not   15%, but not   15%, but not   15%, but not
                 less than 0.2  less than 0.2  less than 0.2  less than 0.2
                 Euro per kilo  Euro per kilo  Euro per kilo  Euro per kilo

  Out of quota   55% but not    50%, but not   45%, but not   40%, but not
                 less than 0.7  less than 0.65 less than 0.6  less than 0.53
                 Euro per kilo  Euro per kilo  Euro per kilo  Euro per kilo

  2\. Beef,                                                   
  frozen, codes                                               
  0202                                                        

  Within quota   15%, but not   15%, but not   15%, but not   15%, but not
                 less than 0.15 less than 0.15 less than 0.15 less than 0.15
                 Euro per kilo  Euro per kilo  Euro per kilo  Euro per kilo

  Out of quota   55% but not    52.5% but not  50% but not    40% but not
                 less than 0.55 less than 0.53 less than 0.5  less than
                 Euro per kilo  Euro per kilo  Euro per kilo  0.4Euro per
                                                              kilo

  3\. Pork,                                                   
  fresh, chilled                                              
  or frozen,                                                  
  0203                                                        

  Within quota   15%, but not   15%, but not   15%, but not   15%, but not
                 less than 0.25 less than 0.25 less than 0.25 less than 0.25
                 Euro per kilo  Euro per kilo  Euro per kilo  Euro per kilo

  Out of quota   60% but not    55% but not    50% but not    40% but not
                 less than 1.0  less than 0.9  less than 0.83 less than 0.55
                 Euro per kilo  Euro per kilo  Euro per kilo  Euro per kilo

  4\. Poultry                                                 
  meat and                                                    
  offal, fresh,                                               
  chilled or                                                  
  frozen 0207                                                 

  Within quota   25%, but not   25%, but not   25%, but not   25%, but not
                 less than 0.2  less than 0.2  less than 0.2  less than 0.2
                 Euro per kilo  Euro per kilo  Euro per kilo  Euro per kilo

  Out of quota   60% but not    55% but not    50% but not    40% but not
                 less than 0.48 less than 0.4  less than 0.4  less than 0.32
                 Euro per kilo  Euro per kilo  Euro per kilo  Euro per kilo
  -------------- -------------- -------------- -------------- --------------

End Translation.

Source: Rossiiskaya Gazeta, December 14, 2005