Putin confirms grain export embargo will be lifted
ROSTOV-ON-DON, Russia. June 23 (Interfax) - Prime Minister Vladimir Putin has confirmed that Russia will lift its embargo on grain exports effective July 1.
Putin, who was speaking at a congress of the Russian Agrarian Movement, promised that the state would give grain producers all the organizational, financial and foreign policy support they need.
Putin cited a "good forecast" that this year's grain harvest will reach nearly 85 million tonnes, not including current reserves.
"We have reserves that can last us till the next crop. An absolutely normal grain consumption balance has been ensured. Excesses can be sent to the world market," Putin said.
Experts say that Russia will be able to export up to 15 million tonnes of grain next year and again join the ranks of the grain market leaders, he said.
Putin invited congress delegates to come up with proposals for "ways of making full use of this potential to the benefit of Russian agricultural producers."
"We will help with this process in every way," he said.
The FOB price for Russian grain in the Black Sea region is about 7,000 rubles per tonne, and the world market price is roughly equivalent to 9,000 rubles, Putin said.
