Russian grain exports up 47%

13.06.2018

According to current data of Russia’s Federal Customs Service, roughly 49.7 MMT of grain had been exported by June 6, excluding deliveries to the EAEU countries. This is 47% more than at the same time last year (33.9 MMT), reports UkrAgroConsult.

Wheat exports exceeded 38.5 MMT (up 48% on the year). Barley exports reached 5.5 MMT that is 2 times as much as a year ago.

Corn shipments abroad totaled over 5.3 MMT that is up 9% on the year. Exports of other crops totaled 340 KMT (up 41%).

Noteworthy, last year’s record grain production in Russia exacerbated the problem of storage capacities’ shortage. In 2017, at the end of the harvesting campaign, average deficit of grain storage capacities reached approximately 20 MMT.

Before harvesting, warehouses of enterprises, located in major grain-growing regions, were still partially occupied with carry-over stocks of the 2016/17 season, which created additional difficulties for storing the new crop. Due to the lack of free storage capacities, farmers used to store grain in unsuitable warehouses, which in turn affected quality.

To relieve the tension, the transportation of roughly 2.3 MMT of grain to a total subsidy amount of RUB 1.95 Bl (32,657 railcars) at a reduced fare was approved by the reporting date from Voronezh, Kurgan, Kursk, Lipetsk, Novosibirsk, Omsk, Orenburg, Oryol, Penza, Samara, Saratov, Tambov, Ulyanov regions.

According to the Russian Agriculture Ministry, 1193 applications for subsidized grain shipments had been received from the Russian Railways by May 31.

More detailed information on the latest trends in grain exports, supply and demand balances with breakdown by crop in the countries of Black Sea Region is available to subscribers for weekly market report "Black Sea Grain" by UkrAgroConsult.

 

UkrAgroConsult

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