Kazakhstan intends to replace Russia on the EU grain market

Kazakhstan plans to start active grain supplies to European countries. Thanks to the restrictions imposed by the EU on Russia and Belarus, Kazakhstan has an opportunity to replace these countries in the grain markets.

The intention to enter the European market in Kazakhstan has been mentioned before. It was also stated about the development of the market of African countries.

“The issue of entering the European market was raised because of geopolitics. Sanctions restrictions were imposed on Russia. In August it was decided that all grain exports from Russia to European countries will be subject to a duty of 95 euros per ton. 95 euros is a good value, it makes our grain attractive in these markets compared to Russian grain,” said Kanat Kobesov, Chairman of the Board of the National Association of Exporters KazGrain, at the Atameken Chamber of Entrepreneurs.

Meanwhile, Kazakhstan is considering increasing grain shipments to seaports in the Baltic Sea.

“We are considering (and raised this issue in the National Board of Entrepreneurs and in the Government), which is necessary for the growth of grain exports to the Baltic ports. About 1 million tons are already exported there. But everyone wants to increase the volume. We are now solving this issue, we are thinking. This is a good opportunity for us. It turns out that what is bad for our neighbor is good for us. And the same is true for us. What has become bad for us, our neighbor has appeared there,” K. Kobesov noted.

According to him, in the last 9 years Kazakhstan has been dominated by Russian wheat. It was imported so actively because it was really cheap. It is still cheap now.

“There were years, in 2009-2010, Kazakhstani wheat was shipped to Moscow. Really bought our “three”, not hard varieties. We traded earlier to North Africa as well. It was all there. And the cost of production allowed, and the cost of logistics. We have lost this market, but I am optimistic. Now the government is creating certain activities, support aimed at restoring our former trade markets. Recently, the president of an African country came to us and offered to cooperate. He said, bring us grain, we are ready to buy 100 thousand tons. I believe there is a need, logistics will be solved, the price of the issue remains,” K. Kobesov said.

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Tags: Russia, Kazakhstan, grain, EU, wheat, restrictions