VZCZCXYZ0035
PP RUEHWEB

DE RUEHMO #2827/01 2631335
ZNR UUUUU ZZH
P 191335Z SEP 08
FM AMEMBASSY MOSCOW
TO RUEHRC/USDA FAS WASHDC PRIORITY 5372
RUEHC/SECSTATE WASHDC 0068
INFO RUEHVI/AMEMBASSY VIENNA 4656
RUEHBS/USEU BRUSSELS
RUEHGV/USMISSION GENEVA 5205

UNCLAS MOSCOW 002827 
 
SENSITIVE 
SIPDIS 
 
USDA FAS FOR OCRA/CURTIS, FLEMINGS, KUYPERS; 
- OSTA/HAMILTON, BEAN 
PASS FSIS/HARRIES, DUTROW 
PASS APHIS MITCHELL 
STATE FOR EUR/RUS, 
STATE PASS USTR FOR PORTER, HAFNER, KLEIN 
BRUSSELS PASS APHIS/FERNANDEZ 
VIENNA PASS APHIS/TANAKA 
 
E.O. 12958: N/A 
TAGS: EAGR ETRD ECON WTO RS
SUBJECT: MINAG RAISES SAFETY CONCERNS OF U.S. 
POULTRY IMPORTS 
 
REF: A) MOSCOW 2788, B) MOSCOW 2769, C) MOSCOW 
2740, D) MOSCOW 2620, F) MOSCOW 1674, G) MOSCOW 
1281 
 
SENSITIVE BUT UNCLASSIFIED 
 
¶1. (SBU) SUMMARY: The Russian Ministry of 
Agriculture expressed several specific concerns 
regarding the quality and safety of U.S. poultry 
via official letter received on September 16. 
The letter included a reminder that Russia will 
ban the use of chlorine in poultry production as 
of Jan 1, 2009, which will effectively block all 
U.S. poultry exports to Russia.  In addition, the 
letter noted instances in which Salmonella was 
found in U.S. poultry meat shipments; an 
excessive number of U.S. poultry plants not in 
compliance with Russian requirements; and the 
lack of a U.S. response regarding alleged U.S. 
poultry found in Siberia that contained high 
arsenic residue levels.  Following on the heels 
of Russia's request for consultations on the 2005 
U.S.-Russia Meat Agreement, the letter appears to 
be a blatant attempt to raise safety questions 
about U.S. chicken and reiterate the threat to 
ban chlorine-treated poultry imports in 2009. 
The original scanned copy and courtesy 
translation of the letter were sent to USDA, USTR 
and the State Department's Russia Desk on 
September 17.  END SUMMARY. 
 
¶2. (SBU) The letter, addressed to AgMinCouns and 
signed by MinAg's Deputy Director for 
International Cooperation, is an apparent 
response to Secretary of Agriculture Schafer's 
letter to Minister Gordeyev dated August 12. 
Secretary Schafer's letter asked for an 
explanation of Russia's intent to ban the use of 
chlorine in poultry production and to ban frozen 
poultry meat to be used for further processing, 
even though there is no sound science to support 
such action (REFS F,G).  According to standard 
protocol, the response should have been signed by 
Agriculture Minister Gordeyev and addressed to 
Secretary Schafer directly.  The fact that it was 
not appears to have been an intentional snub from 
Agriculture Minister Gordeyev. 
 
-------------------------------------- 
Background on Russian Poultry Industry 
-------------------------------------- 
 
¶3. (SBU) Russian poultry production has grown on 
average by 15 percent over the last seven years, 
but still is only able to supply about half of 
total domestic consumption.  Concentration of 
poultry production is growing in Russia as 
smaller companies decide to sell out instead of 
continuing to bleed profits due to skyrocketing 
input prices (mostly feed costs).  The 30 largest 
poultry facilities in Russia produce around 60 
percent of the total poultry meat consumed in 
Russia. 
 
¶4. (SBU) Most domestically-produced poultry is 
chilled rather than frozen as Russian consumers 
overwhelmingly believe that fresh poultry tastes 
better.  However, domestic poultry is 
substantially more expensive making it 
unaffordable for the fixed income and lower 
income segments of Russia's population.  Large 
quantities of imported frozen poultry cuts are 
destined for Russia's regions where incomes are 
lower and there is no locally-produced poultry 
production. 
 
¶5. (SBU) Restrictions on poultry imports will 
likely add to the current inflationary pressures 
on Russian food prices.  Meat prices jumped 2.2 
 
percent in August on a month-to-month basis, 
according to official statistics.  Russian 
consumers will foot the bill as a decrease in 
supply causes domestic producers to raise poultry 
prices.  This was confirmed in a recent 
conversation with the general director of Elinar 
Broiler who said that the company will raise 
prices immediately if and when restrictions are 
applied on imported poultry. 
 
¶6. (SBU) The letter was received on September 16 
although it was apparently backdated to September 
¶10.  An informal embassy translation of the 
letter follows: 
 
BEGIN TEXT: 
September 10, 2008 
No. 12-2/1053 
 
Minister-Counselor for Agricultural Affairs 
Embassy of the United States, Moscow 
Mr. Scott Reynolds 
 
In accordance with your request we send you a 
response from the Federal Veterinary and 
Phytosanitary Surveillance Service. 
 
On June 2, 2008, Mr. Onishchenko, Chief Medical 
Officer of the Russian Federation, signed 
Resolution no. 33, "On production and circulation 
of poultry meat," which was registered by the 
Ministry of Justice on June 23, 2008.  The 
resolution ordered all legal entities and private 
entrepreneurs involved in poultry production, 
trade and import to stop treatment of bird 
carcasses with solutions containing chlorine in 
amounts exceeding the level permitted by SanPiN 
(sanitary rules and norms) 2.1.4.1074-01 titled, 
"Drinking water hygienic requirements on quality 
of water of centralized system of drinking water 
supply. Quality control," (registered by the 
Ministry of Justice on October 31, 2001, no. 
3011).  The resolution also ordered that the 
poultry industry take measures to limit the 
amount of water from thawed poultry meat to not 
exceed 4 percent of the product weight. 
 
These measures were taken because some local and 
foreign poultry-processing facilities use water 
containing active chlorine, and compounds 
produced from chlorine (sodium hypochlorite, 
calcium hypochlorite, magnesium hypochlorite, 
bleaching powder, chlorine dioxide, sodium 
dichloroisocyanurate, potassium 
dichloroisocyanurate), on a regular basis for 
reducing microbial contamination found on poultry 
carcasses during cooling.  The amount of active 
chlorine in water that is used for cooling 
poultry is up to 50 mg per liter.  For anti- 
microbial treatment of poultry meat, use of 
different organic acids (hypoacetic acid, milk 
acid, acetic acid) is strongly recommended. 
 
Use of chlorine in water for cooling poultry meat 
results in the accumulation of oxidation of free 
chlorine on the surface and in deep muscle tissue 
of the poultry meat such as chlororganic 
compounds (chlorophenols, chloramines, 
trichloromethanes, etc) that are hazardous to 
human health. 
 
In addition, there are too many cases of 
producers adding more water to increase the 
weight of poultry meat which is a violation of 
legislation with regards to consumer's rights 
protection.  It also magnifies the risks of 
microbial and chemical contamination of poultry 
meat. 
 
During routine monitoring of animal products and 
further laboratory tests in 2007-2008, VPSS 
repeatedly detained shipments of poultry meat 
from the United States that did not comply with 
Russian hygienic requirements on microbial safety 
and other norms (SanPiN 2.3.2.1078-01). 
 
In an attempt to keep the Russian meat and 
poultry market safe for Russian consumers, VPSS 
delisted 10 U.S. establishments in 2007 (due to 
Salmonella detection in poultry meat) and 4 
establishments were delisted for the period 
January 1 to August 12, 2008 (detection of 
Salmonella and tetracycline antibiotics) and 5 
establishments were notified (the list is 
included). 
 
Based on the results of the preliminary review of 
the random joint inspection materials of U.S. 
poultry establishments conducted during the 
period from July 26, 2008 to August 16, 2008, it 
was discovered that at some inspected plants 
supplying poultry meat to Russia, the Russian- 
American criteria were not met in full. 
 
Furthermore, at many plants corrective actions 
against the deficiencies revealed during previous 
audits had not been performed. 
 
In view of these circumstances, poultry plants P- 
00003, P-164, P-190, P-239, P-244, P-247, P-519, 
P-522, P-550, P-667, P-727, P-758, P-6510, P- 
6616, P-7101, P-7769, P-8727, P-19128 and P-20979 
starting from September 1, 2008, were excluded by 
VPSS from the list of U.S. establishments 
approved to export poultry meat to the Russian 
Federation. 
 
At the same time we draw your attention to the 
fact that during routine monitoring for residues 
of prohibited and harmful substances (including 
drugs) in frozen poultry meat (chicken leg 
quarters) shipments from the United States, an 
excess amount of arsenic residue was detected. 
The product originated from 4 poultry processing 
plants of Peco Foods and 1 poultry-processing 
plant of Tyson Foods.  The poultry meat was 
delivered to those plants for cutting from 4 
Tyson Foods slaughterhouses and 2 Equity Group 
slaughterhouses. 
 
In spite of our numerous requests (and many 
promises from FSIS representatives) to share with 
us the results of an investigation of the arsenic 
issue, no information has been received by the 
Russian side. 
 
In the letter dated July 18, 2008, no. FS-EN- 
2/7197 VPSS asked FSIS to allow Russian experts 
to visit a few poultry farms during the recent 
audit of U.S. poultry facilities.  However, the 
American Side was not willing to accommodate the 
request to VPSS officials. 
 
Since no information has been provided to VPSS by 
the American side regarding the results of an 
investigation to the arsenic issue and since 
Russian veterinary experts were not allowed to 
visit poultry farms during the recent audit, I 
inform you that in order to avoid a ban on 
poultry imports from Tyson Foods (22 plants), 
Peco Foods (4 plants), and Equity Group (3 
plants), all of which were mentioned in the VPSS 
letter no. FS-AS-2/8643 dated August 28, 2008, 
VPSS informed that results of your comprehensive 
investigation must be received within one month. 
As of September 15, 2008, no information has been 
provided to the Russian side. 
 
Please accept, Mr. Reynolds, assurances of my 
deep respect for you. 
 
V.L. Demyanenko 
Deputy Director of International Collaboration 
END TEXT. 
 
------- 
COMMENT 
------- 
 
¶7. (SBU) The letter from MinAg appears to be a 
blatant attempt to raise questions about the 
safety of U.S. chicken and a warning of the 
Russian plan to ban chlorine-treated imports as 
of January 1, 2009, in advance of consultations 
on the 2005 U.S.-Russia Meat Agreement, which 
Russia formally requested in a September 11 
letter from Economic Development Minister 
Nabiullina to U.S. Trade Representative Schwab 
(Ref B).  MinAg is sending a message that, one 
way or another, it will lower the quantity of 
U.S. poultry exports to Russia and achieve the 
twin goals of protecting domestic producers and 
inflicting at least some cost on U.S. 
agribusiness interests.  If GOR and USG officials 
do not reach an agreement through consultations, 
Russian veterinary officials will be ready to use 
other means to cut the flow of U.S. poultry 
exports to Russia, including the imposition of 
sanitary and phytosanitary measures based on 
chlorine and water content. 
 
¶8. (SBU) Post recommends that USDA prepare a 
detailed response refuting various points 
mentioned in the letter prior to the 
consultations. 
BEYRLE