Russia’s Minister of Agriculture updates Vladimir Putin

Yesterday, Russia’s Minister of Agriculture, Dmitry Patrushev, presented an update to Vladimir Putin, here’s a summary of what he had to say.

The grain harvest is 93% complete and he expects the 2020 grain harvest to exceed 125MMT net weight, including 82MMT of wheat, 7.5MMT more than in 2019.

Other crops include 21.MMT of oilseeds including a record rapeseed harvest of at least 2.5MMT.

Potatoes should be about 22MMT, and vegetables will exceed 14MMT.

Planting of winter crops total area will be over 19MHA, which is half a million hectares more than last year. 

Planting of winter crops has already been completed in 38 regions and is still ongoing in 24 regions.

Farmers have seeds and 3.7MMT of mineral fertilizers, almost 10% percent more than last year.

On trade, the minister reported that the 2020 export benchmark was set at $25bn, and currently exceeded $20bn, while at the same time, work on import substitution continues.

In 2020, despite the pandemic, new markets are open for 18 Russian-made commodity items, and they have the ability to deliver to 160 countries.

They are creating a network of representatives of the Ministry of Agriculture in 50 countries, and, following the lifting of coronavirus restrictions, the first attachés will take up their duties in Thailand, Tunisia, Indonesia, Jordan, Mexico, and Malaysia. 

The minister expects this will contribute to the development of agricultural export potential, and, according to forecasts, the established foreign trade indicators will be met in full this year.

Export restrictions were not mentioned.

UK and Ukraine sign a political, free trade and strategic partnership agreement

The UK and Ukraine signed a “Political, Free Trade and Strategic Partnership Agreement”, which, according to the UK government, will “ensure cooperation in political, security and foreign matters”, and "secure preferential trade for businesses and consumers”.

PM Boris Johnson said the “UK is Ukraine’s most fervent supporter” and is “utterly committed to upholding the sovereignty and territorial integrity of Ukraine.”

I’ll leave others to make the obvious observations regarding Crimea and Donbass.

Focusing on the free trade bit of the agreement, in 2019 trade between the UK and Ukraine was worth £1.5 billion.  Top UK exports to Ukraine included aircraft (£79m), medicinal and pharmaceuticals (£61m), and cars (£52m).  During the same period, the UK imported £177 million of cereals and £182 million of iron and steel.

International Trade Secretary, Liz “that-is-a-disgrace” Truss, said, without any hint of irony, that free trade is an incredibly powerful agent of economic growth, opportunity, and human progress. 

Maybe for Ukraine it is but the UK has given up access to a neighbouring market of 445 million people for a trade deal with the poorest country in Europe (alongside Moldova), one that has the world's worst-performing currency, with average salaries of €300 per month, ranks 88 on the Human Development Index, and 120 out of 180 countries for corruption.

Truss goes on to say that, thanks to this deal, the aircraft, automotive and pharmaceutical industries can continue to thrive and support jobs, at a time when airlines are going bust, no one can afford to buy a car anymore, and global warming is just starting to be taken seriously.

In the meantime, Ukraine still uses neonicotinoid insecticides on oilseeds and sugar beet which are banned in the UK, and widely grow GM soya despite it being illegal in Ukraine in what must be the world’s worst kept agricultural secret, all of which end up in products destined for the UK.

Indeed, Liz, free trade is an incredibly powerful agent of economic growth and opportunity, just not always in your favour.

Traveling soon? My advice, don't!

I'm just back from a business trip and my advice is don’t travel at the moment, it's chaos.

Airports are so desperate for business that, apart from shouting at you a bit more and making constant announcements to wear a face mask and to social distance, you are still herded together like the livestock they think you are.

Airlines are so desperate for business that, apart from constant announcements to wear a face mask and to social distance (on a plane?), your face is still 20cm from the back of the head in front of you, and by the end of the flight in the mad scramble to get off, half passengers have their masks pulled down around their chin.

Passport control doesn’t know what the rules are and they are changing all the time anyway, but that doesn’t stop them scrutinising the scrap of paper you’ve been asked to fill in during turbulence as you come into land, then refusing entry, then allowing entry.

Airport restaurants are so desperate for business that you spend the first ten minutes downloading and inputting all your data into an app, which then doesn’t register your order but you don’t know it’s not been registered until, after fifteen minutes, you ask if your food is on its way.  It's not.

Hotels are so desperate for business that often they have closed their restaurants but don’t tell you that when you book, then charge you €30 for a flaccid pre-packed sandwich and warm beer but then you have to come back down to reception to borrow a bottle opener and ask for a glass.

Then, when you do get home you’re in quarantine for 14 days.