Russia: Prime Minister approves adjustment of export tax for wheat, introduces tariffs for barley and corn

Russia�s Prime Minister Mikhail Mishustin has signed a decree adjusting the export taxes on wheat and introducing tariffs for barley, and corn, aiming at �stabilizing prices for the commodities on the domestic market�, local media reported.

As from March 1, export tax for wheat will increase to 50 EUR/tonne from 25 EUR/tonne. The decree also introduces export tariffs at 10 EUR/tonne for barley and 25 EUR/tonne for corn.

The export quota is set at 17.5 mln tonnes, the government�s official press-release said. All shipments above that quota will be taxed at 50% of the customs value of the goods but no less than 100 EUR/tonnes.

The new tariffs will favour Russian cattle breeders, poultry farms, and flour producers who very actively lobbied for the export restrictions and will likely take this opportunity to reduce their grain purchasing prices and increase margins, according to the Chairman of Russia�s Grain Exporters Union Eduard Zernin.