Russia May Halt U.S. Poultry Imports Over Fears of Bird Flu

[ruthbeme]

Russia to Halt U.S. Poultry Imports Over Fears of Bird Flu


Created: 17.08.2006 14:29 MSK (GMT +3), Updated: 14:58 MSK> , 1 hour 5 minutes ago

MosNews
Russia, the world?s largest poultry importer, may halt its imports of the product from the U.S. state of Michigan, because two birds infected with avian influenza (bird flu) were discovered there last week, the country?s Federal Veterinary Service said on Wednesday, Aug. 16.

The service will tighten controls over U.S. poultry supplies while it waits for an official report from the United States, the Interfax agency reported, citing an interview with Alexei Alexeyenko, the veterinary service?s press secretary.

The two Michigan birds found to be infected with avian influenza do not have the lethal form that is spreading elsewhere in the world, U.S. officials said on Aug. 14.

Control over U.S. meat exports is one of the last issues to be resolved in the WTO accession negotiations between Russia and the United States. The two countries were expected to sign the final protocol on the eve of the G8 summit, which took place in St. Petersburg in the middle of July. After months of negotiations the sides were able to reach agreements on contentious issues from access of foreign banks and insurance companies to the Russian markets and protection of intellectual property in the country, which is ridden with copyright piracy. But at the last moment the sides failed to reach an agreement on meat and poultry exports. The United States demanded that the exports be allowed freely, without any additional examinations by the Russian veterinary authorities. The Russian side insisted that special veterinary commissions have to check the U.S. producers that want to export their products to Russia before they are given the green light.The bird flu case is likely to give the Russian side a new trump card in negotiations regarding this issue.

 

[sharon sanders]

Re: Russia to Halt U.S. Poultry Imports Over Fears of Bird Flu

Re: Russia to Halt U.S. Poultry Imports Over Fears of Bird Flu

Russia to Halt U.S. Poultry Imports Over Fears of Bird Flu

Created: 17.08.2006 14:29 MSK (GMT +3), Updated: 14:58 MSK<SCRIPT> document.write(get_ago(1155812330)); </SCRIPT> , 1 hour 5 minutes ago

MosNews
Russia, the world’s largest poultry importer, may halt its imports of the product from the U.S. state of Michigan, because two birds infected with avian influenza (bird flu) were discovered there last week, the country’s Federal Veterinary Service said on Wednesday, Aug. 16.

The service will tighten controls over U.S. poultry supplies while it waits for an official report from the United States, the Interfax agency reported, citing an interview with Alexei Alexeyenko, the veterinary service’s press secretary.

The two Michigan birds found to be infected with avian influenza do not have the lethal form that is spreading elsewhere in the world, U.S. officials said on Aug. 14.

Control over U.S. meat exports is one of the last issues to be resolved in the WTO accession negotiations between Russia and the United States. The two countries were expected to sign the final protocol on the eve of the G8 summit, which took place in St. Petersburg in the middle of July. After months of negotiations the sides were able to reach agreements on contentious issues from access of foreign banks and insurance companies to the Russian markets and protection of intellectual property in the country, which is ridden with copyright piracy. But at the last moment the sides failed to reach an agreement on meat and poultry exports. The United States demanded that the exports be allowed freely, without any additional examinations by the Russian veterinary authorities. The Russian side insisted that special veterinary commissions have to check the U.S. producers that want to export their products to Russia before they are given the green light. The bird flu case is likely to give the Russian side a new trump card in negotiations regarding this issue.

Russia also is pressuring the world's oil producers to make the euro the oil exchange currency instead of dollars. We are seeing the politicalization of H5N1.

UPDATE 2-Russia's Kudrin questions dollar's reserve role
Fri Apr 21, 2006 2:02 PM ET

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By Kevin Plumberg

WASHINGTON, April 21 (Reuters) - Russian Finance Minister Alexei Kudrin on Friday questioned the dollar's pre-eminence as the world's "absolute" reserve currency, given its recent volatility and the size of the U.S. trade deficit."

HERE WE HAVE THE NEW DOMINION. Russia wants to change the balance of power. Russia is one of the world's largest oil producers and will use the U.S. dependence on China's cash to become more dominant in the world economic scene.

"The remarks helped send the dollar lower against major currencies and caused Wall Street analysts to wonder whether central banks will increasingly diversify their holdings out of dollars.

Kudrin, in Washington for the semiannual meetings of the International Monetary Fund and World Bank, told reporters at a news briefing the dollar's value had not been very stable in the past several years, particularly against the euro.

"This causes significant changes in the international situation and that is why we do not understand the U.S. dollar at the moment as the universal or absolute reserve currency," he said. "The international community can hardly be satisfied with this instability."

Political rhetoric... for now.

"Whether it is the U.S. dollar exchange rate or the U.S. trade balance, it definitely causes concerns with regard to the dollar's status as a reserve currency," Kudrin added.

The euro initially jumped nearly half a cent against the dollar <EUR=>to a session high around $1.2360 after Kudrin's comments, but later pared these gains to trade around $1.2335, still up a little on the day.
Russia's foreign currency and gold reserves of $212 billion are the largest of any country outside of Asia.

Currency traders were especially sensitive to any remarks regarding the dollar's reserve status after the Swedish central bank earlier Friday said it had decreased its holdings of dollars to 20 percent from 37 percent of total holdings.

It increased its euro reserves to 50 percent from 37 percent. The dollar declined more than 30 percent against a basket of major currencies <.DXY> from 2002 to the end of 2004, largely on concerns over the growing U.S. trade deficit -- which last year widened to $723 billion, nearly 6 percent of gross domestic product.


However, last year the dollar rallied 13 percent, thanks largely to the Federal Reserve's campaign of steady interest rate increases.

A LOT IN RESERVE
The dollar composes around two-thirds of the foreign currency reserves of central banks around the world,"

And, these Central Banks will not let the dollar fall greatly while they hold so many.

"while the euro makes up nearly a quarter, according to the latest data from the International Monetary Fund.
Some of Russia's oil revenues are being kept in a budget stabilization fund, currently worth $60 billion, and the Finance Ministry has proposed investing the money in highly-rated fixed income assets denominated in dollars, euros and British pounds.

Asked whether Russia will continue to recycle its so-called petrodollars back into U.S. financial assets, Kudrin only said, "We are developing cooperation in the international arena."

This is World Bank speak for "Let us in the club, or else."

"Russia's central bank rejigged its guide to daily reserve weightings in March but did not reveal how the basket of currencies would be composed. Last year, the central bank tweaked its guide to 60 U.S. cents for every 40 euro cents from 65/35.

The country's central bank continues to accumulate additional reserves at a rapid rate as it soaks up windfall oil revenues and prints roubles to maintain a competitive exchange rate.

Turning to the issue of Russia's proposal to repay around $12 billion of debt owed to the Paris Club of international creditors, Kudrin said he expects a decision as early as next month.

Russia, which has benefited from the skyrocketing price of oil, paid back $15 billion of debt last year. But Kudrin did not comment on the $28 billion of additional debt owed to the Paris Club and a potential schedule of repayment.
U.S. crude oil futures rose to a record $75 per barrel on Friday <CLC1>.


http://today.reuters.com/investing/f...R-UPDATE-2.XML

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