Australian Study Claims Russian Grain Exports to Jump 60 Percent by 2030
A newly issued report compiled by the Australian Grains Innovation Center (AEGIC) states that Russian grain exports are on pace to increase by 60 percent between 2015 and 2030 due to yield improvements and expanded acreage.
The report forewarns the Australian grains industry of increased competition as it expects Russian wheat exports to increase by 50 percent to reach 32.5 million tons by 2030, up from current exports of 21.7 million tons. Currently the two countries have little overlap when it comes to destination markets for wheat, however Russia is increasingly encroaching on Australia’s customer base in Southeast Asia.
Russian corn exports are expected to nearly triple from 3.6 million tons to 9.7 million tons by 2030, while Russian barley shipments are expected to increase by 20 percent to 5.6 million tons.
Over the past decade, Russia’s government policy has indicated that the country is intent on increasing food security and self-sufficiency. The country has begun boosting its agricultural research centers with the goal of improving output and productivity, but with the additional goal of boosting the country’s economy. Whatever the drivers, AEGIC expects Russia to increase its prominence in the world’s grain export markets, increasing competition for today’s leading suppliers.