Russian seafood industry dispalying multiannual positive dynamics

April 12, 2010 14:45

At present the capacity of the Russian seafood market amounts to ca.4.5 million tones or 13.4 billion USD with the share of import products amounting to 28% or 0.9 million metric tons, reports ( with reference to analytics of Khladoproduct Group.

Russia takes place 8 in fish catches, processing and consumption and place 10 in terms of the world seafood production.

From 2003 to 2008 the average multiyear rise of fish companies amounted to 12% with the number of fish businesses growing from 5300 in 2003 to 8400 in 2008. About 700 companies are engaged in external trade.

In the year 2009 the fishery industry showed positive catch dynamics with the nation's harvest rising by 11.6% to 3.7 million tones, the figure rising to 3.92 million tons including the freshwater harvest and catch of recreational fishermen. Seafood production reached 3.88 million tones, 4.4% up on last year. At the same time, the total seafood import volume including ready-to-eat products declined by 13.2 to 951,000 metric tons. Besides, such indices as money turnover of the industry's companies also increased to RUB101.5 billion (+17.9%), the sector's efficiency exceeding 10% for the first time in the recent 10 years, the gross value rising by 17.6% and the average monthly wages jumping by 20% to RUB23,000.

Budget proceeds from export duties and customs fees in 2009 rose 6 times to RUB2.8 billion.

In 2009 foreign investments to the Russian fishery industry amounted to 45 million USD. Thus, the foreign investments to the nation's fishery industry amounted to 157 million USD as per the end of 2009.

In 2009 the fishery industry of Russia received bank loans at the total value of ca.RUB16 billion. About 1 billion rubles were allocated from the state budget to partly cover the bank interest rates.

In the year under analysis the financial balance (profit less loss) in the fishery industry amounted to RUB11 billion, 5.5 times up on 2008. At the same time, the share of profitable companies in the fishery industry grew to 74%.

Such positive indices enabled the industry to expand the share of seafood in the retail turnover to 2.5% in 2009 versus 0.5% in 2008, while the average per capita consumption rose from 15 kilos in 2008 to 18.1 kilos in 2009.

In the year 2008 the fishery industry was specified as a strategically important sector for the nation's economic and food security. The Federal Target Program has been approved for the period until 2020 and in 2009-2013 the state will be giving financial support to the industry. Russia's Federal Fisheries Agency has allocated the catch quota shares for the period of 10 years and the fishing sites for the period of 20 years. Besides, the nation's fishing companies have been given the status of agricultural organizations capable of applying for state and tax support and enjoying the right to switch to single agricultural tax. More than 200 fish species have been extracted from the list of TAC-regulated species.

The above mentioned developments have finally underbuilt progress of the Russian fishery industry. In the period of crisis and against the background of production decline and decrease of business activity in the Russian industrial sectors the fishery industry has been showing a steady rise.

In the international fishery policy in 2009 the main focus was made on the further development of cooperation with traditional partners within the framework of international agreements with Norway, Japan, Morocco, Mauritania, EU, Ukraine and Estonia. Russia also expanded cooperation with Cuba, Venezuela, Abkhazia, Brazil, Namibia and Peru and signed two very important anti crime and poaching documents with Japan and South Korea.

To summarize that all, now the Russian fishery industry has a strong potential not only to sustain the stable condition but also to perform a rapid progress without slowing down the sector's modernization in 2010.

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