Russia, formerly the world's third-largest wheat exporter, plans to lift its grain export ban from July 1, imposed since last August after the worst drought in over a century devastated crops.
According to the Russian Grain Union industry lobby, Russia is expected to export up to 20 million tonnes of grain from this year’s crop it the harvest reaches 85-90 million tonnes.
Asia's animal feed makers are likely to be one of the biggest beneficiaries of Moscow's decision to end the grain export ban. Asia has been suffering from tight feed supplies causing the price of feed grain to soar.
Weather strikes crops
Analysts expect Russia's grain exports will also help offset an expected decline in supply from drought-hit Europe.
The US are also having their share of weather issues regarding crops. Wet weather is stalling spring wheat plantings. Plus the winter wheat crop is expected to be the smallest in five years due to a drought in the southern Plains. There are concerns over the spring wheat crop as incessant rains have delayed seedings in North Dakota, the top spring wheat state, with just 34% planted versus the five-year average of 85%.
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