Russia's grain exports are expected to reach a record 36.5 million tonnes in the 2016/17 marketing year, which ends on June 30, SovEcon agriculture consultancy said in a note on Friday. Despite Russia's grain exports already running at a record pace after the historically highest crop in 2016, one of the world's largest wheat exporters is still expected to start a new season on July 1 with all-time high stocks.
SovEcon said its estimate of total 2016/17 grain exports included 27.5 million tonnes of wheat, 4.8 million tonnes of maize (corn) and 3.1 million tonnes of barley. The estimate also includes flour, pulses and supplies to neighbours like Belarus and Armenia, with which Russia shares a free customs border. Russia's May exports are expected to reach 2.6-2.7 million tonnes of grain, including 1.8 million tonnes of wheat, 260,000 tonnes of barley and 400,000-450,000 tonnes of maize, it said.
Russia's April grain exports of 2.6 million tonnes were hit by lower supplies to Egypt and Turkey, its two main markets. While supplies to Egypt were lower due to weaker demand from Cairo's state buyer GASC, exports to Turkey were slashed by a stop-start agricultural trade dispute between Moscow and Ankara.