Russia temporarily bans grain exports to ex-Soviet countries

PanARMENIAN.Net - Russia on Monday, March 14 temporarily banned grain exports to ex-Soviet countries and most sugar exports, but a senior minister said it would keep on providing special export licences to traders within its current quota, Reuters reports.

Russia is the world's largest wheat exporter with Egypt and Turkey among the main buyers. It competes mainly with the European Union and Ukraine.

Prime Minister Mikhail Mishustin on Monday signed an order banning the export of white and raw sugar until Aug. 31, and banning wheat, rye, barley and maize exports to neighbouring Eurasian Economic Union states until June 30.

Deputy Prime Minister Viktoria Abramchenko, however, said the export of grain within the quota under individual licences would continue to be allowed.

Moscow last week voiced concern about the quick pace of its grain exports to neighbouring ex-Soviet countries, with which it shares free customs zones under the Eurasian Economic Union. Supplies to the union are not subject to Russia's grain export quotas and current taxes.

European wheat prices rose on Monday after Interfax news agency reported on Russia's bank on grain exports. It did not initially mention the exclusions from the ban.

The government made no mention of the export licenses in its statement either, but said that international transit of grain via the Union would be allowed.