Russia is discussing setting its wheat-export quota that runs from mid-February through June at 9 million tons, according to people familiar with the matter.
The figure was proposed by the agriculture ministry, which also suggested a total grains quota of 14 million tons for the period, said the people, who asked not to be identified discussing private information.
Russia, one of the world’s biggest wheat exporters, has been taking steps to slow sales abroad to curb domestic food inflation. It’s also introduced a floating tax on grain exports, though the measures have had limited effects on total seasonal volumes.
However, the decision will be closely watched in the global wheat market, which is facing increasingly tight supplies after crops around the world were hit by droughts, frost and heavy rain. Benchmark prices in Chicago reached a nine-year high last month.
Next year’s quota will be decided by the government based on a recommendation by the tariffs commission, a spokesman for the agriculture ministry said, without commenting on the figures.
The press service for the economy ministry, which is in charge of the commission, said it plans to discuss the specific dates and volumes of the quota for 2022 together with the ministry of agriculture “in the near future.”
Russia imposed a grains export quota of 17.5 million tons from Feb. 15 through June 30 this year. It didn’t have a breakdown for specific grains within the total.
Wheat futures in Chicago extended declines to trade 1.6% lower on Friday.
Follow us on social media: