Agricultural production economy suffers amid record harvests in Russia

Grain harvest in Russia in 2022 at net weight will amount to 147-151 million tons, including about 100 million tons of wheat, said the president of the Russian Grain Union Arkady Zlochevsky. But against the background of this record harvest, the economy of agricultural production suffers, which may lead to a decrease in the area under crops, reports World of NAN, citing rg.ru.

The enormous harvest is putting unprecedented pressure on prices, supply on the market critically exceeds demand, says Zlochevsky. We must take into account that in addition to the huge harvest this year there are more than 30 million tons of grain in the form of record remains from last season.

According to Zlochevsky, if last season's peak prices on the world market were up to 450 dollars per ton, now the Russian grain is a little over 300 dollars per ton. Included in the price is a discount of about 30 dollars per ton.

Egypt is the leader in the purchase of Russian wheat - this season it surpassed Turkey. In the domestic market, prices, having reached the bottom, have pushed back a little, which is primarily due to the intensification of export shipments.

"This supports the market today and prevents further declines from taking place. Grain prices in many regions are at a critically low level and go below cost," - said Zlochevsky.

According to his estimates, the export potential for this season is 65 million tons, including 55 million tons of wheat. And despite the lag at the beginning of the season, Russia still has a chance to export more than 60 million tons of grain. Shipments intensified in October. And on December 19, grain exports reached nearly 31.2 million tons - 1 million tons more than during the same period last season.

Infrastructure makes it possible to export 7 million tons of grain every month. In December, however, the weather interfered. Exports of about 4.7 million tons of grain were planned, but only 3 million tons have been exported so far, the expert said.

Currently, the leader in the procurement of Russian wheat is Egypt, and Turkey has moved into second place. Iran occupies the third place. At the beginning of the season, Turkey was buying Ukrainian wheat, so we tried to find new markets. For example, we actively loaded grain to Algeria (which has traditionally been a French fiefdom), Jordan. Pakistan has also returned to buying Russian grain, and Saudi Arabia has seriously increased its purchases.

Смотрите больше интересных агроновостей Казахстана на нашем канале telegram, узнавайте о важных событиях в facebook и подписывайтесь на youtube канал и instagram.