The Ministry of Agriculture of the Russian Federation confirmed the quotas for grain exports and export duty on wheat in 2021 (Google Translate)

Dmitry Patrushev, head of the Russian Ministry of Agriculture, on December 14, during a meeting with Mikhail Mishustin, Prime Minister of the Russian Federation, announced measures to stabilize prices

Among other things, Dmitry Patrushev said the following: “… with regard to grain. It also defines the measures of customs and tariff regulation. We sent our

proposals to the Ministry of Economic Development – the authorized body in this matter. As I said earlier, firstly, this is the introduction of an export quota mechanism for wheat, barley, corn, rye in the amount of 17.5 million tons from February 15 to June 30, 2021.

Second. For the same period, an export duty on wheat is introduced. Its size will be 25 euros per ton, the relevant projects have been submitted to the Government.

At the same time, we believe that the funds received as federal budget revenue from the implementation of these measures should be directed to the activities of the state program for the development of agriculture and support for farmers. ”

Dmitry Patrushev also noted: “At the same time, in order to stabilize prices in the domestic market, from January 9, 2021, a duty is introduced on the export of seeds. The corresponding resolution has already been adopted by the Government. In addition, if prices are not reduced, then on December 21, 2020, the issue of imposing a duty on the export of sunflower oil will be positively resolved. ”

Regarding sugar beets and sugar, the head of the RF Ministry of Agriculture reported: “Sowing of sugar beets in the new agricultural year will increase and amount to 1 million 50 thousand hectares. A telegram was sent to 25 regions that traditionally grow sugar beets about the need to increase the sown area during the spring field work of 2021. According to our forecasts, this will increase the volume of sugar beet by 6.5 million tonnes compared to the current year. Thus, the expected harvest is over 40 million tons, and this will ensure the production of at least 6 million tons of sugar, even with the lowest yield, taking into account the need for 5.9 million tons.

Further. Together with our colleagues from the Ministry of Industry and Trade and the Federal Antimonopoly Service, we are completing the development of agreements between sugar producers and retail chains aimed at reducing retail prices for granulated sugar. The parameters of the agreement will be determined by December 15th. The signing will take place in accordance with your instructions (note by Mikhail Mishustin) until December 20. The mechanism spelled out in the agreement will be in effect until the end of the first quarter of 2021.

Also, next year, sugar factories will have access to preferential short loans for the purchase of sugar beets from producers. The corresponding order of the Ministry of Agriculture was signed on December 11 and has already been registered with the Ministry of Justice of Russia.

According to our calculations, an additional 2 billion rubles will be allocated for these purposes. As I already said, if the producers’ price does not decrease, we are ready to agree on the abolition of the import duty on cane sugar. The necessary tools for the prompt implementation of such a solution are available.

… We expect that the announced measures will allow achieving the following targets.

Producer prices for granulated sugar will be reduced to 36 rubles per kilogram with VAT for retail supplies, directly in retail – to 46 rubles per kilogram.

The retail price for sunflower oil will be reduced to 110 rubles per liter, the manufacturer’s retail price should be 95 rubles including VAT.

It is planned to reduce the prices for milling wheat this year to 14 thousand rubles excluding VAT per ton in the central part of Russia and to 13 thousand rubles excluding VAT by the end of February 2021”.

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