Giuseppe Ambrosi, President of Italian dairy producers Assolatte, said he was satisfied with the contents of the current Italian mission in Russia and the bilateral meeting with the Minister of Agriculture of the Russian Federation, Patrushev, held in Moscow a few days ago.
The Russian embargo has created serious difficulties for Italian dairy companies, which, after years of intense promotion and large investments have seen the doors of a rapidly growing market with great opportunities for development close.
RUSSIA AND THE EMBARGO ON ITALIAN FOOD PRODUCTS
The entry into force of the embargo prohibiting the import of Italian cheeses into the Russian Federation was due to the Crimea affair. A striking case in which the agri-food industry finds itself ‘paying duty’ for tensions totally unrelated to the sector, as in the more recent Airbus/Boeing affair which triggered the US sanctions.
Before 2014, Italian cheese exports – the most appreciated product by Russian consumers – amounted to 45 million euros and the prospects were very exciting. According to Assolatte data, Italian dairy exports have gone from 8 thousand tons to zero.
The Russian market represented an excellent destination for fresh cheese (40% of the total exported volumes), for Grana Padano and Parmigiano Reggiano (30%). Particularly appreciated by Russian consumers were also Provolone, Gorgonzola, and Pecorino Romano.
OUTLOOK FOR THE FUTURE
According to Assolatte, a reopening of the Russian market would help to absorb part of the losses that Italy’s dairy sector will inevitably incur for US duties, Brexit and, it is expected, also for coronavirus. But also those due to the huge local investments – such as the Dmitrovsky District, one of the most ambitious projects launched by the Russian authorities to develop the domestic dairy industry and thus make up for the heavy effects caused by the embargo – which has certainly eroded the scope of future Italian exports.