Ban on three companies goes: Shrimp export to Russia resumes soon

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Business Desk :
Bangladesh is going to resume shrimp export to Russia soon as the country is lifting its ban from Bangladeshi shrimp exporters one by one in response to requests and measures of the government.
The country has already withdrawn its ban from three Bangladeshi companies and the exporters and diplomatic sources are hopeful that restriction on the other company will also go shortly.
Exporters said Russia offers 10 to 20 cent higher price per kg than those offered by the European Union and the US to Bangladesh. It makes 30 per cent advance payments after deals so that the exporters can get relief from bank interest.
Federal Service for Veterinary and Phytosanitary Surveillance of Russian Federation (Rosselkhoznadzor) lifted temporary ban on ARK Seafood Ltd from March 4 and ARK Sea Food Ltd from March 19 and uploaded the withdrawal letters on its website.
Earlier, Rosselkhoznadzor lifted ban on Bagerhat Sea Food Ltd on February 6, 2014.
Four Bangladeshi companies-Bagerhat Sea Food Ltd, Fresh Foods Ltd, Apex Food Ltd and ARK Sea Food Ltd-got approval from the Department of Federal Service for Phytosanitary Surveillance of the Russian Federation in September 2009.
“Bagerhat Sea Food Ltd got the temporary restriction in early 2010 and the rest three last year with Apex Food Ltd getting it in August, ARK Sea Food Ltd in October and Fresh Foods Ltd in November. From November 2013 export to Russia has totally been stopped.”
The government has initiated moves to clear the way for resumption of shrimp exports to Russia, Fisheries and Livestock Minister Mohammad Sayedul Haque told reporters after a meeting with the Russian Ambassador to Bangladesh, Alexander A Nikolae, at the Secretariat in Dhaka on February 25.
Russia, one of the potential markets for Bangladeshi frozen foods, clamped a temporary ban on shrimp import in October since the consignments had failed to meet microbiological standards, depriving the country of sizeable export earnings.
“The Russian envoy has urged us to send a formal letter to have the restriction withdrawn. We’ll send the letter on Thursday. We hope the complication will be resolved soon,” the minister said.
He said that the envoy had promised to help in every way.
Four Bangladeshi companies – Bagerhat Sea Food Ltd, Fresh Foods Ltd, Apex Food Ltd and ARK Sea Food Ltd – had been approved for shrimp exports to the Russian Federation by the country’s Department of Federal Service for Phytosanitary Surveillance in September 2009.
Bangladesh had also signed a MoU (memorandum of understanding) with Russia’s Fisheries Department on December 23, 2009 for frozen food export.
However, Russia imposed a ban in October last on the four Bangladeshi shrimp exporters for failing to meet microbiological standards.
It withdrew the temporary ban on Bagerhat Sea Food Ltd on February 6 this year, paving the way for the resumption of shrimp export to that country.
The Fisheries Minister said that most countries follow the standards of ICMSF (International Commission for Microbiological Standards for Food) and International Organisation of Standardisation (ISO) relating to bacterial load while importing frozen food. “But being a cold country, Russia follows its own standards.”
Bangladesh exports 80,000 metric tonnes of frozen food annually to different countries. Shrimps account for over 50,000 metric tonnes. The country exported 1416 metric tonnes of frozen food to Russia in the current 2013-2014 fiscal.
Bangladesh exported frozen foods worth US$ 458.30 million during July to February this fiscal year (FY 2013-14), compared to $ 368.90 million of the same period last fiscal, Export Promotion Bureau (EPB) data showed.
The government has set a target of exporting $ 578.77 million worth of frozen foods this fiscal.

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