AS RAKVERE LIHAKOMBINAAT

ANNOUNCEMENT

30.12.98

 

 

COMMENTARY TO THE 30.12.98 ARTICLE OF “EESTI PÄEVALEHT” 

 

According to the evaluations of the specialists of Rakvere 

Lihakombinaat, the 29.12.98 resolution of the government of the 

Republic of Latvia about the establishment of quotas for pork 

import also to Estonia has no significant impacts on the 

activities of RLK subsidiary Rigas Miesnieks, and the 

resolution should not bring about the closure of the company. 

As a result of the establishment of the quotas, more resources 

will be spent on assuring the quality of the finished goods. 

In Latvia, it is not possible to purchase standardized pork 

with desired ratio of price and quality. 

 

Due to the establishment of quotas on imported pork, the price 

of pork and other meat products in Latvia will most probably 

increase. As a result of the expected price increase, the 

consumption of meat products will decrease, which may cause a 

decline in all Latvian meat industries.

 

As one possible scenario, we see an opportunity that the 

Latvian meat producers will turn to the EU states where the 

price-quantity ratio is more favorable, and due to that the 

quantity of pork purchased from Latvia may decrease. Based on 

the above, the situation may not change in positive direction 

for Latvian pig breeders, not to mention that the resolution 

may put a strain on the trade and economic relations between 

the Baltic states.

 

 

 

Andrit Heidov

Information Manager

+372 32 29 211