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Sustained level of grain exports
By R-A Business staff | Published  02/17/2010 | In the news | Unrated
In the news…

Exports of grain from Russia in the current agricultural year (beginning in July 2009 and ending in June 2010) went down only slightly, even though the harvest volume was substantially lower than one year before. So far, Russia exported more than 10.7 million tons of grain. In the previous agricultural year, the figure of exports from July to December was around 11.2 million tons, according to director general of the Institute for Agrarian Market Studies Dmitry Rylko.

Figures for the export of barley were higher in 2010 than in 2009: 1.5 million tons, compared to 1.3 million tons. In July of 2009, Russia exported large volumes of barley from the previous harvest.

For the current agricultural year, Russia expects grain exports to be 19 to 20 million tons. Several months ago, the Institute for Agrarian Market Studies put the figure at 18 million tons.

The geographic coverage of Russia’s exports has also been widened to include such countries as Indonesia, Peru, the Philippines, and Korea. Russia was able to win over other exporters by offering better prices.

One more advantage that the Russian side has is the availability of small ports in the Azov-Don basin. As sending railroad loads to large ports is not cost-effective, Russian exporters reoriented to shipping the grain from small ports, to which delivery by freight trucks is possible. While in 2008, 33 percent of the grain was exported through Azov-Don ports, in 2009, the figure increased to 42 percent.

On the whole, in 2009 Russia’s grain harvest was 93 million tons. In 2008, the harvest figure was substantially higher – 108.1 million tons.  






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