Industry union against expansion of benefits for transportation of flour from Siberia

Published 2024년 8월 27일

Tridge summary

The Union of Flour and Cereals Enterprises has expressed concerns to the Ministry of Agriculture about a proposal by State Duma deputies to expand benefits for the transportation of flour from Siberia to all regions of Russia. The union worries that this could lead to the closure of mills and cereal plants in the European part of Russia, threatening food security and hindering planned flour export expansion. The union also highlighted that European processors are less profitable due to underutilization, and that Siberian processors have an advantage with cheap grain. Data shows a 20% increase in Siberian region's processed grain exports, reaching 231 thousand tons, with Thailand being a first-time importer of Siberian flour. Russia's wheat and wheat-rye flour exports have also increased by 38% from the previous year, led by Afghanistan, China, and Iraq.
Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The Union of Flour and Cereals Enterprises is concerned about the proposal by State Duma deputies to expand benefits for the transportation of flour from Siberia to all regions of Russia and asks the Ministry of Agriculture to take its position into account when considering this issue. The letter from the union, addressed to the head of the agricultural department Oksana Lut, states that the supply of flour and cereals for consumers in the European part of the country significantly exceeds needs, and the production capacities of flour and cereals enterprises in this part of Russia are less than 50% loaded, which is why most of them are unprofitable and unprofitable. “Mass shipment of flour and cereals at preferential rates from Siberia to the European part of the country will lead to further closure of mills and cereal plants, which under certain circumstances may threaten the food security of the most populated part of Russia, and will also jeopardize the fulfillment of planned ...
Source: AgroInvestor

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