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    Russian Agriculture News

    sepheronx
    sepheronx


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    Post  sepheronx Fri Nov 25, 2022 2:24 am

    Germany and I think USA now exceeds Russia in heavy alcohol use.

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    flamming_python
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    Post  flamming_python Fri Nov 25, 2022 2:49 am

    Them and Britain, Sweden, Finland, Lithuania, and hell maybe Korea by now

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    lancelot
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    Post  lancelot Fri Nov 25, 2022 3:14 am

    Given Russia's climate expecting wine to play a major role is kind of over optimistic. But beer will do fine I think.
    Hole
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    Post  Hole Fri Nov 25, 2022 11:50 am

    The Black Sea climate is great for wine. And the russian segment of the coastline will propably grow in the next months.  Very Happy

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    Kiko
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    Post  Kiko Fri Nov 25, 2022 7:34 pm

    Roskachestvo named the best red and white wines of Russia, 11.25.2022.

    The head of Roskachestvo Protasov summed up the results of the fifth "Wine Guide of Russia" and named the best wines.

    MOSCOW, November 25 - RIA Novosti. The head of Roskachestvo, Maxim Protasov, within the framework of the 1st Russian Wine Forum, summed up the results of the fifth "Wine Guide of Russia" and named the leaders in the segment of red and white wines.

    "Wine Guide of Russia" is an annual project that Roskachestvo implements jointly with the Ministry of Industry and Trade and the Ministry of Agriculture with the support of the Russian Agricultural Bank . This year, the organization's specialists studied 500 samples of wines made exclusively from Russian grapes. They were purchased at retail, the price of a bottle was up to 1000 rubles. The main emphasis was placed on the category up to 600 rubles per 0.75 liters.

    The experts came to the conclusion that the best dry red wines in the inexpensive segment are made by winemakers of the Krasnodar Territory , semi-dry ones are best obtained on the Don , and the birthplace of semi-sweet reds is Crimea. In addition, buyers purchased the leader of the rating of dry wines for 425 rubles, the top ten red wines also included samples worth 399 rubles. Among the semi-sweet wines, the best sample cost 379 rubles. The leader of the "price - quality" ratio was the Cabernet from "Chateau Taman", bought for 279 rubles and received an assessment of 81 points.

    At the same time, from the point of view of the regional representation of wines in the category of white wines, winemakers from the Krasnodar Territory and Crimea competed almost on equal terms in terms of quality. It is also worth noting certain successes achieved in the production of semi-sweet wines by the specialists of the Don Valley, emphasized in Roskachestvo. The top ten also included wine "Chateau Tamagne Sauvignon" for 240.21 rubles. It also became the leader in terms of price-quality ratio.

    “Over the five years of research by the Wine Guide of Russia, we have recorded a steady increase in the quality of domestic wine products. With a decrease in imports and an increase in demand, the quality of wine has not decreased, but, on the contrary, continues to grow, contributing to the formation of a culture of consumption in the country. An important result over a five-year period is a decrease in the share of wines with pronounced technological defects from 5.37 percent to 0.2 percent. We also note increased competition between producers in terms of quality," Protasov said.

    According to Deputy Minister of Agriculture Andrei Razin, thanks to the growth of investments and the expansion of state support in recent years, it has been possible to increase the area of ​​​​vineyards and, accordingly, yields. He noted that today Russian wines are appreciated at various international competitions. At the same time, comprehensive measures of support from the authorities are needed for further development, Razin emphasized. He clarified that next year the financing of the profile federal project will increase by almost one and a half times and will amount to 3.5 billion rubles. By 2030, this figure will grow to 26.4 billion rubles, he summed up.

    https://ria.ru/20221125/vino-1834326203.html

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    sepheronx
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    Post  sepheronx Tue Nov 29, 2022 5:14 am

    Almost 80 thousand hectares of agricultural land were put into circulation in Russia in 2022



    The implementation of the state program for the involvement of unused agricultural land, which began in 2022, allowed this year to return 79 thousand hectares in 62 regions.

    Including 15 thousand hectares of land returned to circulation are intended for growing export-oriented products ( grain and oilseeds ).

    In addition, 35 thousand hectares were prevented in 7 regions for natural reasons. « For this, 15 reclamation facilities were built and commissioned. Until the end of the year, we will complete the commissioning of five more objects, due to which we will retain almost 8 thousand more hectares of land, — was reported in the Government of Russia. — More than 209 thousand. ha agricultural land was protected from flooding by clearing land reclamation channels ».

    These are those activities on which further growth in production volumes and the expansion of export supplies of agricultural products directly depend. In total, due to the results of the year, about 400 thousand hectares of land will be saved or returned to circulation due to land reclamation measures. This will increase agricultural production by at least 2 million tons already in 2023.

    As part of the measures to return abandoned lands to circulation, more than 15 thousand hectares were returned, which were received by peasant farms in 9 regions. Land plots with a total area of about 81 thousand hectares in 22 regions have been formed and are ready for further provision to farmers.

    Speaking about the regulatory framework of this sphere, it is worth noting that this year several regulatory gaps were excluded in the legislation on land use. In particular, starting January 1, 2023, peasant farms will be able to receive land from agricultural land for rent without bidding for up to 5 years.

    Another solution is to create a digital register of agricultural land. The law has already entered into force.

    In addition, by the end of the year, the State Duma plans to adopt two bills, one of which allows solving the problem of returning unclaimed land shares ( the so-called lands « silent » shareholds ).

    « This problem has been around for over 20 years and it has begun since the reform of collective farms. According to the bill, unclaimed land shares will finally be legally leased, and from January 1, 2025 they will be recognized as municipal property. This decision will return more than 11 million hectares of land to agricultural production », — specified in the Government.

    As part of the implementation of the Program, land maps of 6 regions have been created: Tatarstan, Mordovia, Udmurtia, Belgorod, Moscow, Kaliningrad regions. « As a result, complete information with border contours was obtained with respect to 12 million hectares of agricultural land. This work revealed the lack of information about 2 thousand hectares of agricultural land in the Unified State Register of Real Estate. Next year, it is planned to create digital maps on the territory of at least 13 entities in relation to 39 million hectares of land.

    source:
    https://sdelanounas.ru/blogs/149168/
    https://www.zol.ru/n/37b27

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    Scorpius
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    Post  Scorpius Wed Nov 30, 2022 9:44 pm

    In total, on November 29, 2022, according to the Ministry of Agriculture of the Russian Federation, 155 500 thousand tons of cereals and legumes were harvested, including: 105 200 thousand tons of wheat, 24 500 thousand tons of barley, 10 200 thousand tons of corn for grain.
    https://zerno.ru/node/19602

    As of November 29, the grain harvest was harvested from 97% of the area, 155.5 million tons were harvested. Corn and sunflower harvesting continues in some regions of Central Russia and the Volga region.
    As of November 24, 155 million tons of grain (in bunker weight) were collected. On the same date last year, 125.5 million were collected. Grain and leguminous crops were threshed from 45.8 million hectares (from 45.3 million hectares last year), the yield was 33.8 c/ha (27.7 c/ha).
    Wheat was harvested from 29.2 million hectares (27.8 million hectares) with a yield of 36 kg/ha (28.2 kg/ha), 105.2 million tons were harvested (78.6 last year).
    Barley was threshed from 7.9 million hectares (7.9 million hectares), 24.5 million tons (18.9 million tons) were harvested with a yield of 30.9 c/ha (24 c/ha).
    Corn for grain was harvested from 1.7 million hectares (2.7 million hectares), 10.2 million tons (15.2 million tons) were harvested, the yield was 59.3 c/ha (in 2021 - 55.2 c/ha).
    The area of rice harvesting decreased to 165.9 thousand hectares from 184.5 thousand hectares last year, 934.2 thousand tons (1.2 million tons) were harvested with a yield of 56.3 c/ha (63.7 c/ha).
    Sunflower was harvested from 7.3 million hectares (9.6 million hectares), 13.3 million tons (15.4 million tons) were harvested with a yield of 18.1 c/ha (16.1 c/ha).
    6 million tons of soybeans were harvested – almost a quarter more than last year's level.

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    Scorpius
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    Post  Scorpius Sun Dec 11, 2022 3:02 pm

    In total, as of December 7, 2022, according to the Ministry of Agriculture of the Russian Federation, 157,700 thousand tons of cereals and legumes were harvested, including: 105,300 thousand tons of wheat, 24,500 thousand tons of barley, 11,300 thousand tons of corn for grain.
    https://zerno.ru/node/19602

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    Post  GarryB Mon Dec 12, 2022 12:31 am

    Given Russia's climate expecting wine to play a major role is kind of over optimistic. But beer will do fine I think.

    I seem to remember that one of the things that was sanctioned when Georgia invaded South Ossetia was Georgian wine which was very popular in Russia before that time.

    If you are really determined you could probably grow grapes anywhere, but obviously more effort would be needed in some places than in others.
    Kiko
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    Post  Kiko Thu Dec 15, 2022 12:43 pm

    Russian grain sets a historical record, by Olga Samofalova for VZGLYAD. 12.15.2022.

    Russian grain goes to a historical record.

    Russia has collected a record harvest of grains, including wheat, in the entire modern history. This means that Russia will be able to feed not only itself, but also African, Middle Eastern and Latin American countries that have already increased purchases of Russian wheat. How did Russia manage to achieve such an impressive result and what can prevent it from making money on it?

    By December 14, Russia had collected a record grain harvest - 159 million tons in bunker weight, in net - 150 million tons, as announced by the Minister of Agriculture of the Russian Federation Dmitry Patrushev at the government hour in the State Duma of the Russian Federation.

    This is a new record. The harvest has already grown by a third compared to last year, when 120.65 million tons of grain were harvested. The difference is as much as 30 million tons. Wheat was also threshed to a new record - 105.3 million tons, which is almost 30 million more than in 2021, when about 76 million tons of wheat were harvested.

    Barley was harvested 24.5 million tons, corn - 11.3 million tons, rice - 944.7 thousand tons. This is better than all previous forecasts. Thus, earlier the Ministry of Agriculture expected an increase in the grain harvest in Russia in 2022 to 130 million tons, including a record 87 million tons of wheat in the entire history of Russia. Reality exceeded expectations.

    "This year's figure will be a record for the last 20 years in Russia. The previous record was set in 2017, when the total grain harvest amounted to 135.5 million tons, and the wheat harvest - 86 million tons,” said Artem Deev, head of the analytical department at AMarkets.

    Of course, agriculture is an industry that is highly dependent on the weather, which a person cannot fully influence. There are years when yields are reduced due to rain or heat, and there are years when stable favorable weather allows you to grow a large crop with minimal losses, Deev notes. However, the matter, of course, is not only in the favorable climatic conditions of this year.

    “The entire agricultural sector in our country has been developing for more than a year. The yield is affected by the use of new agricultural techniques, improved grain sources with high productivity, i.e. seeds, the use of fertilizers and pesticides to control pests, reducing losses during harvesting, and this is a matter of using technical means - more modern combines, etc.” Deev says.

    The higher technological level of large agricultural producers helped, as well as the availability of seeds, fertilizers, chemicals, fuel, etc., which turned out to be more affordable this agricultural season, including due to the partial abandonment of them by European countries this spring, notes Ibragim Ramazanov , professor of the basic department of trade policy of the Russian University of Economics. Plekhanov.

    In addition, the area under crops is gradually increasing in Russia, and the state stimulates the production of agricultural products through subsidies, grants and other types of support for business in agriculture, adds Deev.

    “A record harvest in 2022 can ensure Russia not only maintains its leading position in the export of grain, oilseeds, sugar and other raw materials and foodstuffs, but can also eliminate the global famine organized by the collective West to blame Russia for this,” Ramazanov says. 

    For the world market, wheat exports are of particular interest, which this year has already exceeded last year's volumes. “Russia has the potential to significantly increase wheat exports without prejudice to meeting the needs of the national market,” Ramazanov is sure.

    From the beginning of the agricultural season to November, Russia exported 19.8 million tons of wheat, which is already 1.4 million tons more than in the previous year (data from Rusagrotrans). In December, Russia can export another 4.4 million tons, SovEcon analysts predict. The last time such high rates were in December 2020. Exports manage to increase even more due to active sales to Algeria, Pakistan and Egypt. As a result, for the first half of the season (starts in July), wheat exports will amount to 22.8 million tons, and according to the results of the entire season - 43.9 million tons, SovEcon analysts predict.

    The export opportunities of wheat producers depend not only on the harvest, but also on logistical capabilities, on export duties, on the level of prices on the world market, and - this is the new reality - on the sanctions policy of the West.

    “It is no secret that the main consumers of Russian grain are the countries of Africa and Asia, which only increase purchases from year to year. For grain export, new terminals have been built in the ports of the Russian south, railway sidings, etc.,” says Deev. Although market participants talk about the lack of wagons for grain transportation.

    With the help of export duties, the state limits the sale of grain abroad so that there is no shortage within Russia. “However, with such a high harvest, duties on grain sales will probably be reduced next year, and this will allow domestic companies to increase exports and make good money. From which, of course, the budget of our country will also benefit, and the strategic grain reserves in the Russian Federation will be 100% filled,” Deev believes.

    It is extremely important to have large stocks of grain, and not only for the production of bread, flour and other products. “This is also necessary to prevent the rise in prices for essential products, as well as to maintain the required amount of grain in other areas of the agro-industrial complex - in the production of meat, milk, eggs. After all, grain is the main product for feeding animals and poultry, for the production of animal feed and additives,” says Deev.

    There are no problems with the demand for grain, as this is a highly demanded product. Moreover, there is not much wheat in the world. Russia and Australia are the main suppliers.

    However, dumping huge volumes on the world market can be a dangerous collapse in prices. Farmers would not want to face a situation where they sell much more in tons, but earn not much more in money.

    Now wheat prices continue to fall on world exchanges, which causes concern for market participants. This is due, among other things, to the revival of rivalry with Ukrainian grain after the extension of the “grain deal”. On the other hand, there are sell-offs on hedge fund exchanges. 

    As for sanctions, the West did not impose direct restrictions on Russian grain, so as not to lose face in front of the world community and poor countries, which would immediately face an increase in the level of hunger.

    “Wheat is not formally subject to Western sanctions, but the sanctions have an indirect impact on supply chains, the provision of insurance services, etc. Imports of Russian grain by European countries, as a rule, were used for resale in the form of raw materials and processed products to other countries. Therefore, the dependence of Russian grain exports on European countries is low. Russia will be able to overcome barriers to grain exports to the world market. To do this, it is necessary to find strategic partners in those regions that are the final recipients of Russian food. Plus, it is necessary to create new logistics chains that are more reliable and independent of Western countries,” Ramazanov concludes.

    Russia, in addition to the traditional markets of Egypt, Pakistan and Algeria, is already actively increasing wheat exports to the countries of the Middle East and Latin America. These are Saudi Arabia, Brazil and Mexico. Moscow even resumed deliveries to Iraq after 10 years of inactivity. The growing export of this season proves that Russian exporters have learned to bypass restrictions and barriers (financial, insurance).

    https://vz.ru/economy/2022/12/15/1191036.html

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    Kiko
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    Post  Kiko Mon Dec 26, 2022 12:44 pm

    Russia increases food supplies to friendly countries by 25%, 12.26.2022.

    MOSCOW (Sputnik) - Russia increased food supplies to friendly countries by 25% in 2022 compared to the previous year, Russian Deputy Prime Minister Victoria Abramchenko reported.

    "In the year ending we increased food supplies to friendly countries by 25%. It's very good, we're going to continue this work," she told the Rossiya 24 channel. Supplying the domestic market with food is a priority, she stressed, "First of all the country needs to be fed, and the surplus can be sold abroad."

    Russia's partners in the European Union, she continued, "voluntarily renounced food, due to the introduced sanctions," as banks, including Rosseljozbank, which participates in agricultural deals, turned out to be disconnected from the interbank trading system, which made all kinds of operations impossible.

    "Therefore, today we can supply almost nothing to the EU, whether it is mineral fertilizers or food," she said.
    Poorer countries are also looking for food, she added.
    "Russia is a supplier that stabilizes the world food market. The well-being of these countries largely depends on our grains, oils and fats," she noted.

    At the beginning of December, Germany, Belgium, Spain, France, the Netherlands and Portugal called on the EU to review sanctions against Russia, stating that they hinder food and fertilizer supplies to poor countries.

    Russia has been carrying out a special military operation since February 24, the purpose of which, according to President Vladimir Putin, is to denazify and demilitarize Ukraine. Numerous countries condemned that operation, imposed sanctions on Moscow and supported Kiev with supplies, financial and humanitarian aid.

    Yandex Translate from Spanish

    https://sputniknews.lat/20221226/rusia-aumenta-un-25-los-suministros-de-alimentos-a-los-paises-amigos-1133961928.html

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    Kiko
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    Post  Kiko Wed Dec 28, 2022 8:43 pm

    A Russian grain fleet: Why is the West so worried about Moscow's independence?, 12.28.2022.

    The Russian company OZK, a trade and logistics operator of agricultural products, plans to create its own fleet of 19 cargo ships to supply grain to "friendly countries" in response to Western sanctions over the special military operation in Ukraine.

    At the end of December, Russian media revealed that the Russian company OZK plans to order 14 new Russian-made sea cargo ships to transport grain to developing countries. According to Viktor Evtukhov, deputy director of the Ministry of Industry and Trade, and representative of the commercial operator, the Russian company also plans to acquire five bulk carriers in the secondary market by 2025. But should this worry the West?

    The Russian grain fleet

    Russian agricultural producers and exporters do not expect the West to lift restrictions in the near future. The wave of sanctions sent a clear message to Russia and other developing countries of the world that dependence on Western services and mechanisms has its price.

    Grain accounts for more than a third of Russia's agricultural exports, and more than 80% of the goods are transported by sea. Russian exporters, including the OZK, do not have their own bulk carriers, they rent them out. After the start of the special military operation, several international companies stopped transporting cargo from Russia and do not even enter the country's ports for fear of "secondary sanctions". In addition, the costs of transporting goods from Russia have skyrocketed, increasing the final price.

    Therefore, the idea of creating its own cargo fleet for food export is a strategic task for Russia, according to the country's Ministry of Agriculture. Moreover, this will help Moscow to kill two birds with one stone. Firstly, it will not depend on the rules of the game imposed by the West and secondly, it will be able to offer reasonable prices to its customers.

    At the moment, it is known that Russia plans to build the fleet until 2035. According to information from Russian shipyards, the first ship for the OZK could set sail in 2026.

    Currently, Russian exporters need at least 61 bulk carriers, of which 27 need a transport capacity of 40,000 tons and 34 of 60,000 tons, according to the Ministry of Agriculture. While the OZK needs 19 bulk carriers of 40,000-60,000 tons to guarantee the export of grain to friendly countries. The company could spend about 38 billion rubles, equivalent to about $544 million, to acquire 14 new Russian-made ships and five bulk carriers.

    The reaction of the Western press

    Russia's intention to become independent from Western carriers and insurers caused a wave of concern in the media arena. Russia strengthened its own tanker fleet, which is now covered by domestic insurers, including some operating since 1947. In recent months, the Western press has strongly criticized these measures using derogatory language.

    Thus, the Russian fleet is often referred to as "dark" or "in the shade", while the transportation of grain and Russian crude oil by the national fleet is sometimes described as "smuggling". Moreover, Western reporters cast doubt on the operability of Russian insurers without presenting evidence to support their concerns. In addition to that, some media claim that there is an environmental "threat" allegedly coming from Russian ships.

    A Western newspaper described a gloomy picture of Russia's "dark" fleet "smuggling" agricultural products from Crimea in June. The outlet called Crimea an "occupied" Ukrainian territory, despite the fact that the peninsula's population voted in favor of its reintegration into Russia in 2014. The authors also insisted that the transportation of goods from the region is "illegal."The newspaper also mentioned the possibility that the exported goods had been "stolen" by Russia from Ukraine, but added that it had no proof of this.

    Surprisingly, the newspaper relied on satellite photographs provided by the Ukrainian neo-Nazi group Mirotvorets, which is famous for a "blacklist" on its website in which the personal data of international journalists working in the Donbas region is exposed. Every time an individual on the list is killed, the inscription "liquidated" appears above his photograph. In February 2021, the European Parliament urged Kiev to close the Mirotvorets website. However, the group now functions as a legitimate "activist" source.

    Self-sufficiency as a new global trend

    It is noticeable the trend that countries advocate creating their own national shipping, national insurers and local currencies. Thus, the West's control over the flow of money and goods around the world can be reduced.

    The Western-centered system is slowly being torn apart. American and European observers recognize that the world is on the way to deglobalization. Academics from the US-based Peterson Institute suggest that the world economy could soon be divided into blocs. They also predict the upcoming transformation of world politics with China, Russia, India and other developing countries creating polarizing spheres of influence, as well as neutral blocs.

    Meanwhile, Russian experts predict the emergence of new "macro-regions" and different currency zones. Next year we will see if the trend towards deglobalization will continue to gain momentum.

    The blockade of Russian fertilizers

    After the start of the Russian special military operation in Ukraine, the Group of Seven (G7) and its allies imposed extensive sanctions against Moscow, including the financial and banking sector, transport, energy and many others. Russia was excluded from the SWIFT payment system, so its banks cannot make or receive international payments using this mechanism.

    Despite the fact that the European Council assured that the sanctions would not affect Russian food exports to world markets, Russian agricultural products are blocked at European ports. The above-mentioned restrictions paralyzed Russian trade, since the country's customers could not make payments through the established banking mechanisms or comply with Moscow's operations in dominant currencies.

    Last March, the Western press admitted that the anti-Russian sanctions seriously affected the world market, since "the shortage of fertilizers endangers the world food supply." In May, the African Union, made up of 55 member states, sounded the alarm about the "collateral impact" of unprecedented Western sanctions on the food supplies of Russia.

    Even so, there are other adverse effects of the blockade of Russian fertilizers and among them are rising food prices and inflation. It is noteworthy that 30% of world wheat exports come from Russia and Ukraine, and two thirds of these exports come from Russia. As for fertilizers, the world share of this product from Ukraine is negligible. Hence, the price increase for fertilizers is due to the restrictions imposed against Russia.

    The establishment of humanitarian corridors on the Black Sea could not soften the food crisis significantly, since most of these supplies were going to industrialized countries instead of being sent to the famine-suffering Global South. Meanwhile, Russia's agricultural supplies are still blocked by the West, despite the fact that Moscow is ready to provide hundreds of thousands of tons of fertilizers and grain free of charge to poor and needy countries.

    Yandex Translate from Spanish

    https://sputniknews.lat/20221228/una-flota-rusa-de-cereales-por-que-a-occidente-le-preocupa-tanto-la-independencia-de-moscu-1134050011.html

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    Kiko
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    Post  Kiko Tue Jan 17, 2023 10:57 am

    It is profitable for Russia to feed the whole world, by Olga Samofalova for VZGLYAD. 01.17.2023.

    Russia sets a new historical record for the harvest of grain and wheat. This was not even in the Soviet years with large hectares of crops. Russia year by year only strengthens its world leadership in the export of wheat, while the United States - once the leader in grain production - is losing its position. As little wheat as in 2022, they have not sold to the world for at least 40 years.

    The grain harvest in Russia has broken all records both for all the post-Soviet years and for the Soviet era. The crop increased by 26.7% to 153.83 million tons in weight after completion. This is a new estimate from Rosstat. Wheat harvested 104.44 million tons in net weight (against 75.94 million tons in 2021). This is also a new record.

    In the 1970s-1980s of the last century, the total harvest in the country reached about 110 million tons per year, a record level was reached in 1978 - 127.4 million tons.

    “It is not the first year in a row that Russia has seen an increase in grain harvest - the previous record was set in 2017 - 135.5 million tons. Therefore, we can say that modern Russia produces more grain than the USSR, and our country has become the largest grain exporter in recent years,” says Artem Deev, head of the analytical department at AMarkets.

    In January 2023, the export of Russian wheat for the fourth month in a row can become a record and reach 3.6 million tons. This forecast was given by the experts of the analytical center "Rusagrotrans".

    There is every reason to believe that Russia will strengthen its world leadership in wheat exports in the new agricultural year (from July 2022 to June 2023). At the same time, the United States does not have the slightest chance of even competing for first place. The US was once the breadbasket of the world, but it ended 2022 with the lowest level of wheat exports in 40 years.

    Whereas Russia promises high performance. The International Grains Council in a January report raised the forecast for wheat exports from Russia in this agricultural year (from July 2022 to June 2023) by 1 million tons, to 42.1 million, with an expected harvest of 95.4 million tons, which is below the estimate Rosstat. The closest competitor of domestic grain in the world market - the EU - exports 34.4 million tons, with an estimated harvest of 133.7 million tons.

    The US Department of Agriculture expects that Russia will export 43 million tons of wheat (excluding Crimea), and the EU - 36.5 million tons.

    The USA in this list is not even in third place (here - Australia), but only in fourth place. In the 2022-2023 agricultural year, as the USDA predicts,

    U.S. wheat exports hit a 51-year low of 21.1 million tons. That's almost a third less than it was in the 2016-2017 crop year, when the United States was last the world's top wheat exporter. In the 2022-2023 agricultural year, the country is projected to rank fourth with a record low share of 10% of global supplies.

    US wheat is losing the global market due to poor harvests in recent years amid a drought that has ruined the lives of farmers for the second year in a row. Secondly, American wheat loses competition with cheaper foreign wheat - from Russia, Canada and Australia.

    Russia as a whole is playing an increasingly important role in feeding the rest of the world, and making good money from it. Over the past ten years, all agricultural exports have exceeded $37 billion, says Dmitry Krasnov, head of the Agroexport federal center. The share of Russia in the world export of wheat is 16%.

    The new record for the wheat harvest was not only due to good weather in Russia. This alone is still not enough for such success.

    The weather, technology, equipment and modern resources made it possible to get such a harvest, says Natalya Shagaida, director of the Center for Agricultural Policy at the Institute for Applied Economic Research (IPEI) of the RANEPA.

    Arable land has shrunk since the Soviet era, as has the area of ​​the country, but productivity has grown significantly: if in the USSR the average grain yield was 16–18 centners per hectare, in Russia the yield has doubled and amounts to 25–35 centners per hectare, Deev notes. . “This is the result of the use of modern technology, which reduces grain losses during harvesting, as well as a consequence of the use of new productive varieties, however, mainly imported ones - the dependence on the initial seed in the Russian Federation is 60-80%, depending on the type of crop,” the interlocutor notes. .

    The growth of exports is also due to the reduction in domestic consumption. “In the USSR, up to 70% of the grain produced was used as feed for farm animals for the production of meat and milk, and in Russia the number of cattle decreased six times compared to the Soviet period (from 41.5 million heads in 1991 to 7.2 million heads in 2020). Accordingly, in modern Russia, much more grain is sold abroad than it is consumed domestically,” says Deev.

    An important factor in crop growth is the interest of agricultural producers themselves. “For a long time, exports have been the driver of grain production growth - domestic needs are satisfied, therefore, exports are needed to generate income. Otherwise, in the long run, high yields for the domestic market will turn into overproduction, falling prices and the ruin of some producers,” says Shagaida.

    World grain prices are consistently high, so Russian farmers hope to make good money on this high harvest. “Grain from Russia is steadily bought by the countries of the Middle East, Africa and Asia – there are enough buyers, and new high yields will surely find demand abroad,” Deev believes.

    According to the Rosselkhoznadzor, 126 countries bought Russian grain and products of its processing in 2022. The largest buyer with a share of 39% is the countries of the Middle East, in second place with a share of 31% - the countries of Asia, in third place with a share of 20% - the countries of Africa and another 7% remained in the EU. Seriously - 1.6 times - increased the shipment of Russian grain to the EAEU countries (Belarus, Kazakhstan, Kyrgyzstan, Armenia). The export of wheat flour and cereals also increased.

    There are risks that such a high grain harvest in Russia, as well as in its neighbors (in particular, in Kazakhstan) may reduce world grain prices and the income of Russian exporters. However, Shagaida believes that the growth of production in our country will not lead to a drop in prices. “Grain will become cheaper when the whole system comes to a new equilibrium. While the price of grain on the world market is high, although it is declining, Russian wheat is the most attractive in terms of price, but exists in the current conditions of export restrictions. The level of income of grain producers depends on the removal of these undeclared restrictions,” the expert says.

    Formally, no sanctions have been imposed on Russian grain, but general restrictions related to paying for goods in Western currency, insurance, and logistical difficulties interfere. But even despite these barriers, grain exports from Russia are not only approaching last year's figures, but also showing records.

    https://vz.ru/economy/2023/1/17/1195164.html

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    Post  caveat emptor Tue Jan 17, 2023 1:55 pm

    Soviet Union is not any reference for agricultural production, except for naked numbers. Whole system was utterly mismanaged and technologically outdated. Plus, it was saddled with dogmatic ideological decision making, that only made it less efficient.
    For example, average wheat yields in SU were on a level of second half of 19th century yields in developed countries.
    Only thing modern Russian agricultural producers have to beat are their own average yields from last decade or so.
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    Post  flamming_python Tue Jan 17, 2023 2:44 pm

    Soviet Union is not any reference for agricultural production, except for naked numbers. Whole system was utterly mismanaged and technologically outdated. Plus, it was saddled with dogmatic ideological decision making, that only made it less efficient.
    For example, average wheat yields in SU were on a level of second half of 19th century yields in developed countries.
    Only thing modern Russian agricultural producers have to beat are their own average yields from last decade or so.

    Yet somehow the cattle herds are less than half now what they were in 1991; and I'm talking about just Russia here not the whole USSR. Grain is a raw material, cattle are the value added product.
    Similar story with goats & sheep; they have a bit over half as much now compared to 1991.
    Reindeer herds in the north, also smaller, although I don't know by how much.
    Pigs by now they've about surpassed the level of 1990-1991; although it took them up until 2018 or so to do so.
    Only the amount of poultry they really increased, compared to the mismanaged USSR; and this is the easiest type of meat.
    Maybe they increased fishing too, don't know.
    Oh yeah they have some more exotic stuff too now such as rabbits and turkeys and seafood, in small quantities.

    True mismanagement was in the 90s, when the country had to be fed with imported expired American chicken legs. Now they're doing a good job with restoration, but the damage has been catastrophic, and it was all neglected by the same Putin govt too in the first decade of his rule, letting 'the market decide'. Only in 2014 they realized that they need agriculture resurrected. Back in the 80s, 1/3rd of the population were still living in the countryside, before the village economies and agricultural economy completely collapsed.

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    Post  ALAMO Tue Jan 17, 2023 3:35 pm

    Some types of agriculture production require time.
    That was the main challenge in a short term after 2014 the west counted for. That the Russkie will bend over because can't replace food delivery.
    Well, they could be right for a moment, but then Obama was stupid enough to stage a coup against Erdogan. Staging it was not bad, but losing it was Laughing Laughing
    Turk/RUS connections exploded at an enormous peak, and the short term pressure was valved.

    The very first that Russia substituted was poultry. The production cycle is the shortest one there...

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    Post  caveat emptor Tue Jan 17, 2023 4:17 pm

    @FP
    Pigs and poultry higher, number of cows is lower. Milk and meat yields on cows are much higher now, even if head numbers are lower. As Alamo pointed out, bringing beef production higher is much more cumbersome and slower process, as it needs more infrastructure investment and whole process takes longer times. Don't forget that Belarus is/was traditionally strong dairy and beef producer and Ukraine was also not a small one.
    Serious investment in agriculture in Russia started after big economic crisis of 2008, but real boom only after 2014.
    I expect all SU numbers to be surpassed in next decade. Maybe not reindeers. I have no idea what those numbers were. 😉
    Area under agricultural production is still about 30% below what it was in RSFSR.
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    Post  ALAMO Tue Jan 17, 2023 4:24 pm

    Yeah, but you know, it varies on the food consumption preferable, and biology.
    You build a cow herd for about 8-10 years. To get a stable rotation on production lines.
    You need to import cows&bulls of a different race and kind. You need a professional insemination facility - no matter how it sounds Laughing
    You need so many pieces, that the production runs at all cycles.
    I would say that even if Russkie would start a very serious investment program in cow production back then in 2014, the results would be coming only now.

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    Post  flamming_python Tue Jan 17, 2023 7:49 pm

    Well then there is little to boast about in fact, so far.

    Yes Russia has far recovered from the abysmal state it was in the 90s, and has achieved self-sufficiency in most food staples, despite sanctions

    But this is still lower than the level that Russia even just by itself produced in the 80s (not even talking about the whole USSR), even if more efficient. Cheaper meat like poultry and pork is produced in higher amounts; the later only just, while more prized beef and lamb has tanked. Grain produce is higher, and grain exports are a lot higher - but the later only by virtue of the fact that this grain is not needed to feed nearly as much livestock.

    When Russia achieves x1.5 the Soviet measure in cattle production, x2 in lamb/mutton, and expands turkey meat and so on to more than token amounts; then it will be possible to say that Russia is some sort of agricultural powerhouse and has left the '19th century Soviet Union' agricultural sector behind.
    Russia also needs to continue to build a lot more greenhouses to ensure a year-round supply of fresh fruits and vegetables everywhere in the country no matter what the local climate. There were many greenhouses in the Soviet Union; in the 60s it was a world leader in this sphere. In the 90s they were mostly abandoned and ransacked, and Russia became totally dependent on Azerbaijan and Central Asia, and later China, Turkey, Poland, even Israel and other suppliers. Yeah, they were a lot less sophisticated compared to the modern European or Russian standard, but quantity has a quality of its own. What use are the latest polaroid-filtered, humidity controlled greenhouse complexes if you only just have some here and there?


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    Post  ALAMO Tue Jan 17, 2023 8:03 pm

    Russian agriculture sector is bloody booming.
    The number of investments is mindblowing.
    Some of them need a decade's perspective to be fully operative.
    It is not a joke, you know?
    Making a wine oak cork requires a 100 !!!! years of cultivation.
    Very first - low quality and low in number harvest - you can get after 50!! years.
    You can't produce quality beef earlier than about 10 years - cows need to get used to the environment and feed to produce quality meat.
    You will just butcher your core herd if started early, which makes a footprint in the whole economy of the project.
    Considering the spin-off where we have discussed the Russian standards/cost of living, the meat presented there as normal is really prime cuts.
    I watched hundreds of materials with Russian open space markets, and I can tell you that the meat quality delivered there is VERY good.
    The fish supply is simply superb.
    As an amateur cook, but with 30 years of experience - I can swear that it is impossible to find a lot of that cuts here.
    No matter the price tag you can carry.
    Sure, maybe we can enjoy some others - but in general they win by a grat margine.

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    Post  flamming_python Tue Jan 17, 2023 8:06 pm

    I was also at a Russian open-air market just the previous week

    The variety of meats and meat products on offer also impressed me. And it was from all over the country. North-West, Central regions, Volga, Caucasus. It's a paradise for any cook.

    The prices less so. I mean they were affordable I guess.. but no more so than in your local supermarket, in fact maybe a bit more expensive even.

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    Post  ALAMO Tue Jan 17, 2023 8:37 pm

    Yeah, you know what buzzes me most?
    Lack of good quality fish here.
    You can just go to a random market called random Dagestan and buy a great steak class cut from a 15kg fish at any moment ...
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    Post  GarryB Wed Jan 18, 2023 1:03 am

    I remember watching a Q&A session with Putin where a farmer, didn't ask a question, he just thanked Putin for the sanctions on cheap imports of food from the EU which helped him get on his feet and estabilished so that if the sanctions were dropped he could not just continue to compete in Russia but could possibly get market share in the EU with his lower overheads.

    Putin simply said thank the EU for their sanctions that enabled him to do that in return.

    The WTO rules would normally prevent such things meaning Russian farmers would be trapped and unable to get to a position where they were profitable... bear in mind two of the worlds richest and most powerful companies... Amazon and Tesla were not highly profitable till they gained a monopoly or got big enough to massively reduce their costs using their power and influence to make a profit.

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    Post  kvs Wed Jan 18, 2023 4:41 am

    Free trade and the WTO are a racket to maintain colonial control by the west. Of course this effort has failed in the case of China
    and India (to a different extent) but it is exactly the situation that the farmer was experiencing. Established western corporations
    can lock the global market since there is a natural entry barrier that keeps competitors out. Any upstart company can be crushed
    by large corporations with all sorts of dirty tricks such as dumping and supplier coercion. The essence of globalism is to prevent
    countries from creating conditions for local companies to emerge and prosper. This is protectionism and was the norm for the west
    100 years ago when its own corporations were developing. Japan managed to develop effectively after WWII because of protectionism.
    So did South Korea. The WTO rules ban protectionism in the name of the "free market". The WTO rules are absurd.

    We do not live in a world of many small companies making near zero profit all competing with each other. We do not have anything
    near a "free market". We have oligopolies. Many people are totally clueless about this and think that a handful of large companies
    (e.g. car manufacturers) are a "free market". They do not even know that the natural cycle in any industry is for agglomeration.
    There were many more car companies in the USA in the 1920s and 1930s and they got absorbed. The WTO was created to secure
    the dominance of western corporations. This is true regardless if China and Russia joined. These two countries had enough domestic
    development to resist total domination. But most countries on the planet cannot.

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    Post  Kiko Sun Jan 22, 2023 11:41 am

    Russia Successfully Supplies Grain to Turkey for Rubles, 01.22.2023.

    MOSCOW (Sputnik) - Turkey has successfully completed a transaction and paid for Russian grain in rubles, and now Moscow is discussing the possibility of similar supplies to Egypt, Russian Deputy Prime Minister Viktoria Abramchenko told Sputnik.

    "The latest example is a deal with Turkey on food supplies, when the settlement was carried out in rubles. The first ‘swallow’ was successful. Our largest [grain importer] is Egypt, and we are also beginning work on such a transition with them," Abramchenko said.

    Speaking about commercial shipments, the official emphasized that Russia is yet to systematically switch to trade in national currencies, but this is definitely a "trend."

    She added that the Bank of Russia is currently negotiating the possibility of working out mechanisms for such mutual settlements with central banks of other countries, and this applies not only to food supplies.

    https://sputniknews.com/20230122/russia-successfully-supplies-grain-to-turkey-for-rubles-senior-official-1106568249.html

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