April 30, 2007

 

Russia 2007 grain crop to reach 79 million tonnes

 

 

Russia aims to harvest 76 to 79 million tonnes of grain this year as against to 78.6 million in 2006, Agriculture Minister Alexei Gordeyev said on Friday (April 27).

 

Russian analysts previously estimated the harvest from 78 million tonnes to 82 million this year.

 

Gordeyev said changes are also expected in sowing patterns over the country's growing livestock sector which requires more feeds.

 

With this development, areas for corn and soybean area would increase substantially, he said.

 

Gordeyev could not point which cereals would be affected by the change, but he said the increase in these crops' plantings would unlikely affect food grain output.

 

Russian information and analytical centre SovEcon have valued winter grain losses at just 1.4 million hectares this season, compared with 2.8 million in the 2005/06 crop year.

 

SovEcon estimates the area sown with winter grains for the 2007 harvest fell to 14.3 million hectares from 14.5 million a year ago. Wheat accounted for 79 percent of the total area, rye 17 percent and barley 4 percent.

 

The government said in March the country planned to sow 31.2 million hectares to spring grains this year. The corn area was expected to rise to 1.4 million hectares from 1.11 million in 2006 and soybeans to 934,000 hectares from 849,000.

 

Last year an increase in spring grain output offset winter-kill losses and raised output to 78.6 million tonnes from 78.2 million in 2005.

 

Analysts and traders expect Russia's grain exports in 2007/08 to exceed the 11.5-12.0 million tonnes estimated for 2006/07.

 

Milling wheat makes up the bulk of Russia's grain exports. It also exports feed barley, wheat flour and peas.

 

Nearly half Russia's wheat exports go to the Mediterranean, with Egypt as the leading buyer. Saudi Arabia is the main buyer of Russia's barley.