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Russia will double the export tax on wheat, which is one of the biggest export items, in order to reduce rising food prices. Maksim Reşetnikov, Minister of Economic Development of Russia, stated that they are preparing to increase the wheat export tax from 25 Euros per ton to 50 Euros as of 1 March.
Russian Economic Development Minister Maksim Reşetnikov is preparing to increase the wheat export tax from 25 Euros per ton to 50 Euros as of March 1.
Reşetnikov, in his assessment of the rising food prices in the country, noted that Russia will increase the export tax on some basic products in order to control prices. Russian Economic Development Minister Maksim Reşetnikov said , “We welcome the suggestions of the authorities. In this context, we can increase the wheat export tax to 50 Euro per ton, corn export tax to 25 Euro per ton, and barley export tax to 10 Euro per ton from 1 March to 30 June ”.
Reşetnikov emphasized that the decision they made was aimed at protecting the interests of the domestic market and said, “Our priority is to meet the needs in Russia and to prevent new price increase risks. "For the decision to increase export taxes to take effect, it must be approved by Russian Prime Minister Mikhail Mishustin."
29 PERCENT INCREASE COMPARED TO THE PREVIOUS YEAR
Meanwhile, according to the Russian Ministry of Agriculture, the country's wheat exports increased by 29 percent in 2020 compared to 2019, reaching $ 10 billion. Russia's main wheat exports in markets, Turkey is Egypt and Bangladesh. According to the Ministry of 10 percent of the export it is taking place so close to $ 1 billion to Turkey.
On the other hand, world wheat prices increased demand from China and other importing countries and Russia's doubling of wheat export taxes brought wheat prices to the top of the last 7 years.
Source: 
Dr. Mahmoud RIYAD, International Milling Industry News Reporter Euro Asia
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