Russia may ban exports of all grains

by World Grain Staff
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DNIPROPETROVSK, UKRAINE — Due to anomaly high temperatures and droughts in many regions of the Russian Federation, Prime Minister Vladimir Putin has said it is reasonable to forbid all grain agricultural products exports, APK-Inform Agency reported on Aug. 5.

Previously, Arkadiy Zlochevskiy, the president of Russian Grain Union, said that the grain market has given many signals that grain exports will be closed beginning Aug. 10. If the government takes such decision, the market will be heavily damaged, he said.

According to Zlocheviskiy, it is necessary to notify the market and give exporters the opportunity to fulfill current contract obligations. Several Russian companies won the Egyptian tenders for grain supplies, and their fulfillment is under the challenge also. Zlochevskiy said that the Russian reputation as a valid grain supplier could suffer from such a violent decision.

Before arranging such measures, the government should provide the lag for fulfillment of the current contract obligations, he said.

At the same time, Yurij Ognev, the head of the large-scale Russian grain exporter, the general director of International Grain Company, is in favor of a grain export ban in order to decrease the price panics which emerged on the market.

On Aug. 5, Dmitry Peskov, the press-secretary of the chairman of the government of the Russian Federation, explained that the temporary embargo for Russian grain exports will last from Aug. 15 to Dec. 1.

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