Russian Grain Crops Decline, Export Ban Likely

Jul 19, 2012 06:36 AM EDT | By Sriranjini

  • print
wheat
Ukraine bans wheat exports. Argentina's poor weather and export curbs will affect its wheat output. (Photo : flickr.com/Mr.Bologna)

Russian grain crops are likely to fall in 2012-13 as a result of drought.

Last year, Russia saw a record crop of 94.2 million tons, out of which 27.6 million tonne was exported. However, this year, the grain crop may decline to around 82 million tonnes.

Like Us on Facebook

Russia is the third biggest exporter of wheat this is likely to drop from last year's 56.2 million tonnes to somewhere between 47 and 49 million tonnes.

"Russia's grain exports have slowed this year due to drought in the south and a rail disruption in the Black Sea port of Novorossiysk area because of flash floods", says Oleg Rogachev, first deputy chief executive officer of Rusagotrans, a transport company. July shipments are expected to be 1.2 million tons, Rusagrotrans estimates. That compares with 2.4 million tons in 2011, according to state statistics data.

A top grain analyst predicts that the grain exports could be even lower than expected.

"The outlook for the harvest is worsening," says Andrei Sizov Sr., CEO of SovEcon.  In all the key producing regions, except the Central Federal District, production is expected below last year's."

Many now believe that Russia may ban grain exports to maintain domestic supply, like it did in the year 2010. But, government officials have refuted this belief.

"There will be a meeting on the grain market," said Arkady Dvorkovich, Deputy Prime Minister of Russia, to Reuters Tuesday. "I see no basis for limiting exports."

Since the export ban in 2010, Russia has been trying to assure markets that such a thing is unlikely to happen again.

But, flash floods in the south and a drought in the Black Sea region has destroyed about 3.4 percent of the grain crop. This, along with a Goldman Sachs report, has prompted the belief that a ban is inevitable.

© 2015 Food World News. All rights reserved. Do not reproduce without permission.
Get the Most Popular Food Stories in a Weekly Newsletter
TrendingOn The Web
Food Biz
Jimmy Carr Launches New Stronger British Latte at Starbucks

Starbucks Race Together Campaign Tanks: Starbucks Baristas To Keep Race Out Of Coffee Cups

In a bold move, last week the coffee giant released a new campaign, Starbucks’ Race Together, in which baristas in United States venues were invited to start a conversation with clients about race in America – but it’s been a marketing disaster all the way through.

California Wines

California Wines: 31 Brands Of Cheap California Wines Loaded With Very High Levels of Toxic Arsenic?

California wines- Are you addicted to California wines? Wait until you read this! Some cheap California wines were found positive for inorganic arsenic that is believed to be lethal beyond allowable limits.

Dairy Queen Payment Systems Breached By Hackers

Dairy Queen Vanilla Ice Cream: FREE Cone Day On Dairy Queen’s 75th Anniversary!

The Minnesota-based company is turning 75 today, and they’re celebrating along with fans with a Free Cone Day, as Dairy Queen’s vanilla ice cream makes a full appearance all over the country, as the company also teams up with a big charity for the occasion.

Food Tech
Chef

The Top 10 Secret Weapon Ingredients from the Star Chefs

Just today, February 25, 2015, Yahoo! Food posts the secret weapon ingredients used by Star Chefs to achieve the most palatable dishes at home or in a restaurant. The said website revealed the top 10 magical ingredients that can turn home-cooked meals into top class restaurant tastes.

Burgeoning Craft Beer Industry Creates Niche Market For Limited Release Beers

Next Glass App: The App That Chooses Wine And Beer You’ll Love!

For those who love to have a nice glass of wine or beer during the weekends - which is just about everyone or almost -, there's a new way to keep the guessing out of the way you choose what to drink: the Next Glass app chooses drinks according to what you love!

A national survey done by the North Carolina State University and the University of Minnesota representatives suggests that most U.S. consumers are ready to accept genetically modified and nanotech products if it is enhanced with nutrition and are safe.

U.S. Consumers, Ready To Accept Genetically Modified, Nanotech Products If It Is Healthy And Safe, New Survey Reveals

A national survey done by the North Carolina State University and the University of Minnesota representatives suggests that most U.S. consumers are ready to accept genetically modified and nanotech products if it is enhanced with nutrition and are safe.

Real Time Analytics