Inside: Grains & Raw Material

Barriers to grain exports Russia

8 March 2018 - Anne Jan Doorn

Grain exports from Russia are showing record after record, but the facilities in the country leave a lot to be desired. The ports, ships and roads cannot handle the large quantities of grain.

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The major investments are therefore made by United Grain Company, the largest grain trading company in Russia. However, it is expected that the effect of the investments will not be noticeable within 5 years.

Existing ports too small
The capacity of the existing ports in particular is inadequate. There are only a few ports in Russia that can accommodate ships with a loading capacity of more than 25.000 tons. On the other hand, the major projects have already started. For example, a grain terminal is being built in Russia's largest port (Taman).

Record export
The export record in the period from 2016 to 2017 (35,5 million tons) is likely to be significantly exceeded between 2017 and 2018. The Russian ministry expects the harvest this season to be at least 45 million tons. In addition, exports from Russia are only expected to increase in the near future keeps growing.

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