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Belarus will suspend exports of dried whole milk and whey powder to Russia in the second quarter of this year following an appeal by Russia's National Union of Milk Producers (Soyuzmoloko), said the press office of the Belarusian agriculture ministry on Tuesday.
The Belarusian ministry promised to temporary suspend the exports as a result of consultations held with the Russian agriculture ministry and Soyuzmoloko.
It also promised not to lower further the benchmark prices of dairy products supplied to Russia this year.
“We understand that it is necessary to reach consensus with all participating countries and take into account their peculiarities and demand,” said Belarusian Agriculture Minister Mikhail Rusy.
The Belarusian ministry also pledged to hold consultations on its benchmark prices for Russia with Soyuzmoloko every two weeks.
On February 20, Soyuzmoloko urged the Russian agriculture ministry to ban exports of Belarusian dried whole milk and whey powder until the end of 2012.
The price of raw milk averaged out at 15 to 16 Russian rubles per liter in Russia before the end of 2011 compared with no more than 11 rubles in Belarus, Soyuzmoloko said. In addition, the Belarusian agriculture ministry kept lowering this winter the indicative prices of Belarusian dairy products intended for export to Russia. The lower prices give an "unprecedented advantage" to Belarusian dairy companies in the market of the Customs Union of Belarus, Kazakhstan and Russia, and have "destructive" effects on Russia's producers, the Union stressed.
Soyuzmoloko also expressed concern about the Belarusian ministry's benchmark prices of butter and fat-free milk bound for export to Russia. // BelaPAN