2 days ago
Russia targets Southeast Asian markets for grain exports
MOSCOW - Russia is targeting large markets in Vietnam, Indonesia, Malaysia, the Philippines and Bangladesh for grain exports in the new marketing season that began on July 1, Ilya Ilyushin, head of state export agency Agroexport, said on Thursday.
Russia, the world's largest wheat exporter, is seeking to diversify agricultural exports beyond traditional buyers such as Egypt and Turkey, which bans imports periodically to support domestic producers. Last season Russia boosted wheat supplies to Vietnam fourfold.
"Right now, our goal is to enter the Southeast Asian market. This includes not only Vietnam and Bangladesh, but also Malaysia and the Philippines. These are large countries with significant purchasing power and grain imports," Ilyushin said.
Bangladesh became the third-largest buyer of Russian wheat last season.
Russia expects to achieve a 4% larger grain harvest of 135 million tons in 2025, despite drought in some regions, and plans to export 45 million tons of wheat in the current season, compared with 44 million tons last season.
Eduard Zernin, a board member of Russia's Grain Producers and Exporters Union and CEO of Bio-ton agricultural holding, said that Russia is likely to face tough competition from Australia, the United States, and Canada in Southeast Asia.
"This is a powerful group with ambitious competitors. They have their own goals and objectives, their own ways of doing business. And we need to be prepared for tougher competition," Zernin said.
