PROBLEMS AND PROSPECTS OF DEVELOPMENT OF THE MEAT INDUSTRY IN RUSSIA

Mukhametzyanov Erik Eduardovich
Ufa University of Science and Technology
1st year Master's student at the Institute of Law

Abstract
The article presents the features of the opportunities and prospects for the development of the meat industry within the framework of agro-industrial holdings in Russia. The purpose of the study is to identify key factors influencing the development of the industry and identify promising strategies for the sustainable growth of companies participating in holdings in the field of meat production.

Keywords: agro-industrial holding, development problems, development prospects, meat industry


Category: 08.00.00 Economics

Article reference:
Mukhametzyanov E.E. Problems and prospects of development of the meat industry in Russia // Modern scientific researches and innovations. 2025. № 4 [Electronic journal]. URL: https://web.snauka.ru/en/issues/2025/04/103176

View this article in Russian

Scientific supervisor: PhD in Philological sciences Vakhitova G.V., Associate Professor of the Department of International and Integration Law at Ufa University of Science and Technology

 

The meat processing industry is an important part of the Russian food industry and is of great importance for providing the population with animal protein. Meat and meat products are widely distributed and accessible to most of the country’s residents, so their importance should not be underestimated. In recent years, meat processing enterprises have been actively developing and modernizing, striving to strengthen their positions in both domestic and international markets. Joining agro-industrial holdings opens up wide opportunities for companies to increase resources, expand their product range and increase their competitiveness.

The Russian meat market is considered one of the leaders in the world, with a monthly turnover estimated at more than $5 billion, according to official statistics. It offers a wide range of products, including unprocessed meat (beef, pork, lamb, poultry and other types) and various sausage and meat products. Meat production is increasing, but there is still a shortage of quality meat for everyone [3].

Agro-industrial holdings have a number of competitive advantages in the meat industry. Integration into the holding allows enterprises to expand their products, increase production efficiency, improve logistics processes and provide their own raw material base. Vertical-horizontal integration allows for increased operational efficiency and lower production costs.

Undoubtedly, agro-industrial holdings have many competitive advantages in the meat industry. The entry of meat processing enterprises into the holding’s structure provides a number of advantages. Firstly, it allows you to expand the range of products. Secondly, production efficiency increases due to optimization of logistics processes. Also, this approach guarantees the availability of its own raw material base. However, we should not forget about the importance of vertical and horizontal integration, which helps to increase operational efficiency and reduce production costs. This approach also helps to reduce risks and ensure long-term business stability [1].

To reflect the strengths and weaknesses, as well as the opportunities and threats of the meat industry, a SWOT analysis was conducted, the results of which are presented in Table 1.

Table 1 – SWOT-analysis of the meat industry in Russia

Strengths

Weaknesses

-       High demand for meat products in Russia

-       Availability of modern meat processing plants and technologies

-       High consumer demand for meat products and sausage products

-       Gradual increase in meat production and processing enterprises

-       Well-developed infrastructure for transportation and storage of meat products

-       An insufficiently developed quality control system for meat products

-       Insufficient use of modern technologies in meat production

-       Problems with the transportation of meat products in remote regions

-        Lack of investment in the development of the meat industry and agriculture in general

-       Limited access to high-quality animal feed, which affects meat production

Opportunities

Threats

-       The opportunity to increase the share of Russian meat in the domestic market in the face of sanctions and restrictions on imports

-       Russia’s high potential to become a major meat exporter on the world market

-       Increase production efficiency and improve product quality through the introduction of new technologies and innovations

-       The growing number of modern shops and supermarkets contributes to the growing demand for meat products

-       The possibility of receiving government subsidies and benefits for development in this area

-       Inability to purchase imported equipment due to sanctions

-       Climate problems that negatively affect the production and supply of animal feed

-       The public outcry caused by the revealed poor quality of products can undermine confidence and demand for the industry’s products

-       Competition between domestic and foreign manufacturers

* Compiled by the author according to [2]

SWOT-analysis helps to determine what strengths and opportunities the meat industry has, as well as what weaknesses exist and what threats may arise.

Thus, based on the SWOT analysis, the factors that slow down the development of the meat industry in Russia become obvious: low investment attractiveness, outdated equipment, import of meat from abroad, difficulties in entering the foreign market, insufficient use of natural forage lands, lack of innovative resources. All these factors slow down the development of both enterprises specializing in the production of meat products and the meat industry in Russia as a whole.

However, in addition to negatively affecting factors, the meat industry in Russia has prospects for development: an increase in demand for meat due to an improvement in the standard of living of the population and the growing trend of proper and healthy nutrition, an expansion of the range of products, improved production technologies and government support in the form of subsidies.

There are also a number of factors that need to be considered to achieve success in the meat market. The first important factor is that enterprises need to invest in technology and new high-tech equipment in order to increase productivity and quality of their products. Such a measure will make it possible to competently manage production processes at the enterprise and ensure a high level of quality control over raw materials and manufactured products in general [2].

The second factor is that it is very important to pay attention to the quality of the raw materials, as this directly affects the product. Control over all production processes, from the selection of raw materials to packaging, is an important aspect of the proper functioning of manufacturing enterprises.

Finally, the third factor that also plays an important role in promoting meat products on the market is the development of a distribution network. To attract more consumers, it is necessary to increase the number of points of sale in Russia, as well as to increase and optimize the product range. Enterprises engaged in the production of meat products must constantly focus on the changing requirements of the market and consumers, and at the same time develop measures to improve production, optimize quality, reduce the environmental impact on the environment and promote their products.

Thus, the successful development of the meat industry in Russia requires an integrated approach that includes innovative technologies, product quality control, sales network development and marketing strategies. Success in this industry depends on the ability of companies to quickly respond to changes in the external environment and adapt to market requirements, ensuring a high level of quality and competitiveness of their products.


References
  1. Haydn, J. Workshop on the technology of production of sheep and goat products: Study guide / J. Haydn. Saint Petersburg: Lan Publ., 2013. 224 p.:
  2. Larionov, I.K. Strategic management: A textbook for masters / I.K. Larionov.  Lyubertsy: Yurait, 2015. 235 p.
  3. The Russian market of meat and meat products [Electronic resource]. – URL: https://foodmarket.spb.ru/archive/2024/222980/222989 /?ysclid=lwdgvjroyb917306727 (accessed: 19.02.2025).


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