Russia Intends to Introduce Quota For Wheat Exports

BUSINESS TURKMENISTAN
Russia Intends to Introduce Quota For Wheat Exports
The Russian Agriculture Ministry expects 127 million tons of grain harvest this year.

The Ministry of Agriculture of the Russian Federation proposed to introduce a separate quota for wheat exports starting February 15, 2022, within the general grain quota, in order to curb rising prices, the Interfax news agency reported on Monday with reference to the statement of the Deputy Agriculture Minister Oksana Lut during a meeting with members of the Union of Grain Exporters on September 30.

The Russian Agriculture Ministry expects 127 million tons of grain harvest this year, and its exports to amount to34.5-35 million tons, including 31.5 million tons of wheat, of which 14 million tons will fall on the second half of the season, January-June 2022 year.

The head of the Russian Federation of Grain Exporters Eduard Zernin said new restrictions will be placed on wheat exports within the general quotas. He explained that the quote for wheat exports will most likely be calculated based on the needs of the domestic market by the beginning of 2022.

Oksana Lut also announced the plans to introduce subsidies for the transportation of grains from the southern regions to the central Russia in 2022.

In February 15 - June 30 period of 2021, the export of wheat, rye, barley and corn outside the EAEU was limited to a total quota of 17.5 million tons. According to the customs data, from July 1 to September 23, Russia exported 9.9 million tons of grains, including 8.4 million tons of wheat, which is respectively 22% and 19.2% lower than a year earlier.