Meat import regulations have highlighted a dilemma between supporting domestic producers and thwarting inflation, as cutting import quotas could encourage Russian meat producers to raise prices for lack of competition.
"Further toughening the rules would be unfeasible," German Gref told a Cabinet meeting.
He criticized proposals to bar foreign meat from the Russian market as an attempt to cover up an inability to keep the situation under control. He said such a move would not yield positive results in the country that had already imposed stringent regulations on meat imports.
"We are the only country joining the World Trade Organization that has been allowed to maintain quotas until 2014 and beyond," Gref said.
The minister called for more effective measures to be taken to counter meat smuggling, whose share is growing, but warned against changing international commitments and the current market balance.
"The introduction of quotas has raised market prices 80-200%, which is more than enough," Gref said.
Prime Minister Mikhail Fradkov said he would hold an unplanned Cabinet meeting on the meat import issue Friday.
