March 16, 2011

Russia's grain harvest may reach 85 million tonnes

Russia's grain production may hit 85 million tonnes this year, including at least 40 million tonnes of wheat, said Arkady Zlochevsky, President of Russia's Grain Union.

The approximation assumes planting of cereals on 31 million hectares (76.6 million acres) this spring, he said. The harvest may also comprise 16.5 million tonnes of feed barley, according to Zlochevsky.

Russia will need to bring in about one million tonnes of grain in the approaching marketing season, Zlochevsky said. The union raised its forecast for carryover inventories to between 17 million and 18 million tonnes, up from the original of 15 million tonnes.

Crop losses for winter grains are approximated at between 1.5 million and 1.6 million hectares of the total 15.5 million hectares that were sowed, Zlochevsky said.

A lack of funds for farmers is the main threat to the size of spring sowing, according to Zlochevsky. Farmers are only allowed to extend loans until April.

Only 76% of seeds available for sowing meet standards, which may reduce yields, Zlochevsky said.