Russia will reduce the export duty on wheat to $97.5 per ton from January 19

The export duty on wheat from the Russian Federation will decrease to $97.5 from $98.2 per ton from January 19, the Ministry of Agriculture said.

The decline occurred for the first time since September 22, 2021.

The duty on barley will decrease to $79 from $86.2 per ton, on corn – to $46.1 from $67.7 per ton.

The new duty rates will be in effect until January 25.

Fees are calculated based on indicative prices. For wheat, the price was $339.3 per ton ($340.4 for calculating the previous duty), for barley – $297.9 ($308.2), for corn – $250.9 ($281.8) per ton.

On June 2, the Russian Federation introduced a grain damper mechanism, which provides for floating duties on the export of wheat, corn and barley and the return of funds received from them to subsidize agricultural producers.

The amount of duties is calculated weekly based on price indicators based on the prices of export contracts that are registered on the Moscow Exchange. The cut-off price for wheat is $200 per ton, for corn and barley – $185 per ton. The amount of the fee is 70% of the excess of this indicator.

According to the forecast of the Ministry of Agriculture, grain exports this agricultural year (July 2021 – June 2022) will amount to 45-48 million tons. Last agricultural year (ended June 30, 2021), 49 million tons were exported, including 38.4 million tons of wheat.

Grain-Online

Tags: grain, barley, wheat, export duty, Russia, corn