Dmitry Rylko, Director-General
of Russia's Institute for Agricultural Market Studies (IKAR), forecasts the
2018-19 Russian wheat harvest at 76.5MMT, up from 2017-18's 72.0MMT.
The Russian Ministry of Agriculture predicts an increase in
the 2019 grain harvest to 118MMT, the minister said latest data gave grounds
for raising the forecast to 118MMT, which is about 5% more than last year and will meet domestic needs and increase
export potential.
At a meeting with representatives of the largest domestic
grain exporters, the Russian Minister of Agriculture, Dmitry Patrushev
announced they are setting up a new association of grain exporters to represent
the interests of the main exporters.
The minister urged participants of the meeting to join in
with the work to create the association which will be created April of this
year and is necessary to understand the general trends and demands of the
market.
It was noted that cereals remain the key domestic
agricultural products supplied abroad, and the minister stressed that the
ministry does not plan to impose any restrictions on the export of this crop.
It was reported that, in the current agricultural year
(2018/2019), Russia increased its deliveries by 3%, to 32.6MMT, and wheat
exports grew by 11% and amounted to 27.3MMT.
According to forecasts of the Ministry of Agriculture, the
export potential of the grain remains at 42MMT, including 37MMT of wheat, which
will ensure supplies to meet the demands of the domestic market.
The Russian government has published information on 12
National Projects to be implemented through to 2024, these include agricultural
exports which they plan to increase twofold to $45bn by 2024.
In the immediate future, Russia plans to export agricultural
products worth $24bn in 2019 and $28bn in 2021, (Russian 2018 agricultural
exports provisionally total $25.9bn according to the Agriculture Minister)
For the record, those projects are; 1. Digital Economy, 2.
Ecology, 3. Labour Productivity and Supporting Employment, 4. International
Cooperation and Export, 5. Education, 6. Culture, 7. Small and Medium
Businesses and Support for Business Initiatives, 8. Healthcare, 9. Demographics,
10. Safe and High-Quality Roads, 11. Housing and Urban Environment, 12.
Science.
Russia’s Deputy Minister of Agriculture, Oksana Luth
reported that Russia started exporting poultry products to China, and dairy
product exports could start in the middle of the year.
Russia, Kazakhstan & Iran signed a memorandum on
cooperation in wheat trading, allowing private & state companies to import
wheat to Iran for processing & export to third countries, & export of
processed wheat from Iran by flour producers, Iranian exporters and/or joint
ventures.
Latest global data on organic farming released at BIOFACH
this week by the research institute FiBL and IFOAM
includes the following headlines: Global organic area reaches all-time high; Nearly 70MHA of farmland
organic; Global organic market worth $97 billion; Almost three million
producers worldwide.
BIOFACH is the organic trade fair which took place at Nuremberg
this week; both Russia and Ukraine were represented with senior ministerial
delegations attending.
Russia reports that the volume of the domestic organic
market currently stands at 160 million euros, but given the potential of Russia
for arable land, as well as the demand for such products, the Russian market
may reach 5 billion euros by 2025.
Ukraine reports that the purpose of the official delegation
at the exhibition is to present the Ukrainian organic agricultural sector internationally,
build long-term partnerships with state authorities of other countries and
participants of the organic market.
A new World Bank report on Ukraine argues that reforms in
three areas are needed: 1) creating supportive conditions for the private
sector; 2) addressing corporate debt; 3) strengthening markets by lifting the
moratorium on agriculture land sales.
Ukrainian sugar beet area is forecast to drop 20% to
220,000HA in response to low sugar prices, according to a source from the
National Association of Sugar Producers.
Ukraine ministry report field works have started with the
first fertiliser being applied to 8% of the winter wheat crop, 11% of the
winter barley and 19% of winter canola. They also report winter crops are in
the best condition for the last five years.