World Economy

Russia Grain Export Duty

Russia Grain Export DutyRussia Grain Export Duty

Russian grain export duty takes effect on Sunday. Grain export duty makes 15% of customs cost of a grain batch plus 7.5 euro, but no less than 35 euro per one ton, Tass reported. The government has declared this measure in December 2014 to make Russian grain sales to foreign markets less attractive and to stabilize flour and bread domestic prices. For instance, a grain ton cost $265 per ton at the Chicago Mercantile Exchange in December, whereas the domestic price made 11,000 roubles ($159). So, export was 50% more attractive than sales on the domestic market. Following grain supply slump in Russia flour and bread prices hiked in November-December 2014.