Saudi Arabia becomes leading buyer of Russian grain in July-Aug - Grain Exporters' Union

MOSCOW. Sept 7 (Interfax) - Saudi Arabia in the first two months of the farming year (July-August) became the leader in purchases of Russian grain, the Union of Grain Exporters said in a statement.

According to Union data, the country imported 1.323 million tonnes of grain, which is almost 1.9 times more than in the same period last year (704,000 tonnes).

Saudi Arabia was also the leader in July, importing 833,000 tonnes, which is 2.6 times more than a year ago (322,000 tonnes).

Egypt was second in the two-month period, increasing purchases by 12.1% to 1.284 million tonnes from 1.145 million tons a year earlier. The final member of the top three was Turkey, which reduced imports by 6.7%, to 1.283 million tonnes from 1.376 million tonnes, respectively.

In July, Turkey was second (692,000 tonnes vs. 602,000 tonnes a year ago), while Egypt was third (503,000 tonnes vs. 229,000 tonnes).

The top 5 leading buyers in the 2 months of the farming year also included Iran, which purchased 1.127 million tonnes, 22.6% less than last year (1.456 million tonnes), and Libya, which tripled its purchases to 878,000 tonnes from 289,000 tonnes in July-August last year.

Iran retained the fourth place taken in July (500,000 tonnes vs. 571,000 tonnes). Libya took the place of Israel, which was fifth in July (351,000 tonnes vs. 95,000 tonnes).

Eduard Zernin, chairman of the union's board of directors, told Interfax that Saudi Arabia has established high rates of purchases and has been the leader in Russian grain imports since the beginning of the season. It buys not only wheat, but also feed crops. Egypt became the leader in purchases of Russian wheat, which allowed it to assume second position in the ranking.

"At the same time, Turkey reduced purchases of feed crops, which was enough to roll it back to third position in terms of grain in general," Zernin said. "Iran is steadily losing its positions due to a serious reduction in Russian wheat deliveries due to persistent and inexplicable problems with payment".

Libya demonstrated the highest (among the leaders) growth rate of purchases and became one of the top five largest importers of Russian grain, Zernin said.