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Russia May Face Meat and Dairy Deficit Next Year

Many high-quality food products have been banned and Russian consumers will not be satisfied with domestic versions of lower quality.

Russia could face a deficit of meat and dairy products next year as a result of the country's embargo on certain imported food and raw materials, the RIA Novosti news agency reported, citing the Audit Chamber, a government spending watchdog.

There is a risk that certain banned food items will not be fully replaced by domestic products, the Audit Chamber said in a report, according to RIA Novosti.

Furthermore, Russia risks a food deficit as it often uses foreign raw materials in food production, the Audit Chamber warned. Russia introduced a ban on many Western food items and raw materials in August last year in response to sanctions imposed by the EU and the U.S. on Russia over its involvement in the Ukraine crisis. In June, Russia prolonged the embargo for another year in response to the extension of sanctions by Western countries.

Russia could also face falling demand for domestic products, the report said. Many high-quality food products have been banned and Russian consumers will not be satisfied with domestic versions of lower quality, according to the Audit Chamber.

Last month, Russia's agricultural watchdog Rospotrebnadzor said 80 percent of the cheese in Russian supermarkets was fake as it contains a significant amount of palm oil.

In total, 25 percent of all dairy products in Russian shops are counterfeit, an inspection by Rospotrebnadzor revealed.

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