April 6, 2012

Russia's grain export capacity may rise 50% by 2017

Russia may increase capacity to export grain through ports to 45 million tonnes per year by 2017, Russian Grain Union president Arkady Zlochevsky said.

"Current ports' capacities amount to up to 40 million tonnes, but due to the fact that rivers freeze and this year even the sea froze and other conditions … the real potential is lower. It is now a little over 30 tonnes a year," Zlochevsky added.

The 50% increase is possible if existing ports are upgraded and new ones are built. Building new ports could also help cut prices at the Novorossiysk Port, which boasts a railway line.

"Competitors cannot offer the same reloading scheme, which Novorossiysk offers," he said.