October 4, 2010

Russia may not resume grain exports until July 2011

Russia may extend its ban on grain exports until next July, according to Deputy Prime Minister Viktor Zubhov.

Global wheat prices skyrocketed after Russia announced the ban in August following the hottest summer on record and fires that devastated the country. Zubkov said this year's harvest would not exceed 66 million tonnes, below the country's annual need of 77 million tonnes, and that the resumption of exports was not feasible.

Zubkov's comment contradicts with statements made earlier by President Dmitry Medvedev, who said that Russia may lift the ban after harvest figures were released later this year.

Russia was the world's third largest wheat exporter in 2009.