The agribusiness of Siberia fears that Kazakhstan, which supported a high price tag for grain last season, will bring it down in the upcoming MY by reducing imports.
The main reason, voiced by Dmitry Rylko, Director General of the Institute for Agricultural Market Studies - IKAR, at the Siberian Field Day agricultural forum (Altai) is a high wheat harvest expected in 2022. An increase in the gross grain harvest may provoke a reduction in the purchase of Siberian grain.
It should be noted that the gross harvest of wheat in the Republic of Kazakhstan will be, according to forecasts:
- US Department of Agriculture - USDA - 13 million tons,
- International Grain Council - 13.2 million tons,
- European Crop Monitoring Agency MARS - 14.2 million tons.
For comparison: according to statisticians, in 2021, the wheat harvest in weight after underworking amounted to 11.8 million tons.
The speaker, cited by TASS, said that "terribly high prices" of wheat in the Omsk region and Altai persist for the second season in a row because the regions work for the neighboring market. According to him, at least 2.2 million tons of wheat were shipped to Kazakhstan in the outgoing season.
The expert also recalled that in 2020, thanks to export demand, wheat prices in the domestic market of the Russian Federation reached export parity.
Meanwhile, grain stocks in Siberia, according to Rosstat, are 19% more than last year's volume.