September 4, 2007

Russia may limit grain exports as world prices rise
 

Russia is considering imposing limits on grain exports because of the rise in prices on world markets, the news agency Interfax reported Grain Union President Arkady Zlochevsky as saying Monday (Sep 3).

Zlochevsky said the Agriculture Ministry has formed a special working group which is holding consultations. No specific decisions have yet been made, he said.

The ministry would prefer to wait until the harvest is over, he added.

The possibility of grain interventions, which would be accompanied by an export duty, is also under consideration, he said.

Export duties on grains, primarily barley, may be imposed before the interventions, Zlochevsky said.

Russia had exported 450,000 tonne of wheat and 150,000 tonne of barley for July 2007, compared with 700,000 and 100,000 tonne, respectively, a year before.