Russia for the first time entered the top 5 largest grain suppliers to Brazil

In January-July, Russia exported $108.5 million (380,000 tons) of grain to Brazil, ranking fourth in the list of the largest suppliers to this country, write “RIA Novosti” with reference to the data of the Brazilian statistical service.

During this period, Russia exported only wheat and meslin to Brazil, and in the same period of 2022, the South American country did not purchase Russian grain. As the agency notes, the last time Russia made large deliveries to Brazil in January-July was in 2010 – their total volume then amounted to only 5.6 million. Brazil also bought grain from the Russian Federation in 2013, 2014 and 2019.

In the first seven months of 2023, neighboring Argentina again became the largest grain supplier to Brazil (2 million tons of grain, $736.3 million), while Paraguay took second place in the top 5 (886,000 tons, $290 million). According to the agency, deliveries from these countries in absolute terms fell by two and a half times year-on-year, respectively. Uruguay, which took third place (544,000 tons, $211 million), on the contrary, increased supplies by 1.9 times compared to 2022. The United States closes the top five, increasing supplies by 1.7 times – up to 80,000 tons ($20, 85 million).

At the All-Russian Field Day in July, Minister of Agriculture Dmitry Patrushev toldthat in the 2022-2023 agricultural year, Russia supplied 60 million tons of grain to foreign markets. According to him, Russia has maintained the status of a net food exporter since 2020, in 2022 the volume of supplies of agricultural products abroad amounted to $41.6 billion. 47 million tons will fall on wheat, the minister noted.

At the end of August, Agritel analysts stated that Russia will continue dominate the grain market in 2023-2024, which is necessary “in an unstable global balance.”According to estimates released in August by the US Department of Agriculture, global wheat production will decline due to a decline in production in Canada and Europe. World deliveries will decrease to 793.37 million tons (-3 million tons), stocks will also decrease. Agritel specifies that Russia in this context will strengthen its position as the world’s leading exporter with an export capacity of 49 million tons of wheat, which is the average for the past five years.

As previously reported by the Food and Agriculture Organization of the United Nations (FAO), world food prices in July grew up by 1.3% compared to June.