The Russian Federation may keep the export duty on wheat even after June 30, 2021; zeroing is not planned.
The director of the Siberian Grain Company LLC Mityuk Ksenia Aleksandrovna dealt with this issue:
"All grain exporters are interested in extending the zero duty after June 30, 2021. The text of the document of the Russian Ministry of Agriculture says: "" The Ministry of Agriculture of Russia considered your appeal dated January 12, 2021 on the issue of initiating the maintenance of a zero export duty on wheat exports after June 30, 2021, as well as attracting representatives of the Union of Grain Exporters to work out mechanisms for regulating the grain market and informs: at present, the Ministry of Agriculture is not plans to initiate zeroing of the export customs duty on wheat. "
The letter also recalls that an agreement on interaction has been concluded between the Ministry of Agriculture and the Union of Grain Exporters, according to which the Ministry of Agriculture attracts, if necessary, representatives of the union to participate in the work of commissions, advisory and expert and working groups created by the Ministry, including the development of regulatory legal acts.
The duty on the export of wheat from the Russian Federation was determined according to the approved formula and from October 1, 2015 it was 50% of the customs value minus 6.5 thousand rubles, but not less than 10 rubles per ton. From September 23, 2016, the duty was zeroed until July 1, 2018. Then the zero rate was extended for another year - until July 1, 2019, and then until July 1, 2021.
In this situation, it is better to start preparing for market changes in the formation of prices for grain products in order to prevent a sharp supply disruption and, as a result, to maintain the fulfillment of obligations under our export contracts.