The EU decision on prohibitive duties on grain imports from the Russian Federation and Belarus has entered into force

The EU Council has implemented a new policy imposing higher customs duties on grain, oilseeds, and processed products originating from Russia and Belarus, effective from July 1. This move is aimed at limiting the import of these agricultural goods from the two countries. The duties vary across different products, with soft wheat facing an additional 95 euros per ton, hard wheat at 148 euros, and barley and rye at 93 euros per ton. Oilseeds, oils, meal, and beet pulp will attract duties equal to 50% of the customs value. This policy is expected to slightly affect Russian grain exports, but may create challenges for livestock farmers and processors in European countries, especially in terms of the availability and pricing of feed. Despite these challenges, Russian grain market experts anticipate that the impact on Russia will be minimal, with a possible shift in focus towards Asian markets. However, the EU may experience more significant difficulties, given its reliance on Russian agricultural products for its domestic market.