No new records for Russian grain

Forecasts for the coming season range from 73 to 82 million tons of wheat. The ministry therefore expects that the harvest will be smaller this year, compared to 2017 (85 million tons). Thanks to the larger initial stocks, Russia can export at least 2018 million tons of wheat in the 2019/37,5 season, compared to 36,5 million tons in the current season.

The ministry also reported expectations for the future of its grain yields. She estimates a harvest potential of no less than 150 million tons. Due to improved yields and good Russian market conditions, the ministry expects grain exports to increase by 2025 million tons by 60.

Drought 
The expectations are not only positive. Several Russian agriculturalists complain about dry soil. The snow that has fallen in Russia in recent days is so minimal that the country's soil is likely to benefit only briefly. In other places, some cold damage to the crop has even been reported.

It was also reported that Russian growers have insufficient liquid assets, meaning that there is a possibility that they would not be able to meet the ministry's forecasts (regarding grain yields). This is because they can sow less rather than less, due to the high seed prices. In addition, the Russian banks are not lining up to support these growers.

Good news?
What can be seen as good news is that expectations for 2018 for Russia are somewhat tempered. This is because world supplies are very high. Grain prices are currently back to October 2017 levels.Grain prices are currently back to October 2017 levels.