FOODPATH NEWS



International Trade Cooperation at the Sixth Canada-Russia Business Summit, March 26-27, 2007

International trade and the exchange of Agri-Food technology and food safety were some of the prime subjects on the Canada-Russia Business Summit agenda in Canada recently, together with aerospace products, mining, oil exploration, farm machinery. It was organized by CERBA, the Canada Eurasia Russia Business Association. A high-profile delegation from Russia experienced the first days of Springtime in Ottawa, Canada’s capital. Some 200 Russian and Canadian executives from business, industry, academia and government, took part. It was the sign of a political mood swing and an indicator that business relations were improving.

“More balanced trade between both countries” became an important topic, especially since Russian exports to Canada in agricultural raw materials such as meat, pork, poultry, seafood and others could be greatly increased. Canada in turn, promoted its trade in cattle and swine genetics, purebred animals, agri-food building systems, farm equipment, agricultural science and technology. Several comments, made by participants, suggested that both countries would benefit from more frequent agricultural trade missions.

Discussions took place with Russian swine producers who wish to expand their markets for a product that has seen considerable domestic growth over the past years. The Russian domestic poultry industry also reported an increase of 25% over the past year. This benefits domestic Russian markets but also creates opportunities for international trade. Mr. I. Obolentsev, Chairman of the Russian Union of Industrialists and Entrepeneurs, and Mr. N. Demin, General Director of Excema, a major meat processing company, were present to voice their interest in the pork and poultry trade. Mr. Y. Trushin, Chairman of the Russian Agricultural Bank commented on the growth of agriculture and the expansion of an additional 500 branches by his bank, this year. Canadian business sources indicated that Russia’s membership to the World Trade Organization and the new Foreign Investment Protection and Promotion Agreement would encourage further investment interest in Russia as a potential economic partner. Food safety was discussed as a necessary part of international trade. Simon Jol, President of Ottawa based Foodpath Inc., a Canadian food safety consulting firm and frequent contributor of articles to Food Processing Magazine in Moscow, identified the need for HACCP and compatibility with Canadian agri-food programs. He also pointed to their recently published English-Russian Compendium, of technical and food safety terms, for the meat industry as an example of available guide material for international trade. Foodpath spokesman Simon Jol voiced his appreciation for the support with agricultural information that he received from the Ottawa Embassy of the Russian Federation.

Canadian genetics have long been appreciated by the Russian beef industry but producers report that they are facing technical problems at the Russian border. A similar story, but with different products, was presented by Russian food producers importing into Canada. According to Simon Jol, the message behind these stories is: “know your market, clearly identify your product and follow the regulations.”

The Russian delegation was led by Alexei Gordeyev, Minister of Agriculture of the Russian Federation. Chuck Strahl, Canadian Minister of Agriculture and Agri-Food, and David Emerson, the Minister of International Trade led Canadian officials and industry officials. Russian specialists advanced their ideas on cooperative commerce while Canadian officials presented ways to encourage mutual agricultural trade during talks in Ottawa and on March 28 at SIAL-2007, the largest North American trade show, in Montreal. Mr. V. Melnikov, Chief Specialist in International Cooperation for the Russian Ministry of Agriculture, provided the critical information on trade statistics between Russia and Canada to explore closer economic relations. The winter snow disappeared, while Mr. Gordeyev and others made their presentations and positive signs of change indicated that a climate of cooperation had arrived for both countries.

The next, or Seventh Canada-Russia Business meeting, has been planned to take place in Russia in the autumn of 2008.