Russia 2008-09 grain exports 23 million tonnes versus 13.6 million tonnes in 2007-08

Russia exported 23 million tonnes of grain in the 2008-09 marketing year (July-June) compared with 13.6 million tonnes the previous marketing year, leading Russian agricultural markets analyst SovEcon said in a report Thursday (July 1).

Wheat exports in the 2008-09 marketing year totalled 18 million tonnes, corn exports 1.4 million tonnes. The main reason for the increased exports is the bumper harvest in 2008 of some 108 million tonnes.

Domestic market stagnated and prices fell, which made exporting grain profitable. Also the falling ruble contributed to the competitiveness of Russian grain on the international market. Russia mainly exported fourth grade wheat, which is suitable for milling in countries like Syria, Iran, Turkey and Pakistan, which had not been traditional buyers of Russian grain in the past.

Also Egypt increased imports of Russian grain considerably, buying 4.8 million tonnes in 2008-09 of its total imports of 9.5 million tonnes, compared with 3.4 million tonnes of total imports of 7.7 million tonnes the previous marketing year.