Russia won’t be starting an export duty on grains in April, First Deputy Prime Minister Viktor Zubkov said.
Russia’s grain crop will be 93.9 million metric tons, with 27 million tons of exports in the 2011-12 marketing year, Zubkov said in a statement on the government’s website.
“Russia’s government doesn’t see grounds for any kind of grain export restriction in April this year,” Zubkov said, according to the statement.
Wheat capped the longest rally in almost four weeks last month on speculation that Russia would limit exports with a duty. Shipments so far this season are 19.6 million tons, according to today’s statement.
“It is good for exporters because they were afraid of signing contracts with deliveries in April,” Andrei Sizov Jr., managing director of SovEcon, a research company, said by phone from Moscow. “Russia will be now actively present at tenders with grain deliveries for April.”
Wheat for March delivery fell 0.7 percent to $6.58 a bushel on the Chicago Board of Trade at 3:42 p.m. London time. Prices have dropped 23 percent in the past year as Russia boosted export supplies.
Russia probably won’t have a duty at all this season, Sizov said. Snow cover in Russia’s southern regions means there are no “serious” losses expected for the winter crops, he said.
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