Russia: Kashin urged to revise the formula for calculating the export duty on grain

Russia

Published Jan 28, 2022

Tridge summary

The government needs to revise the formula for calculating the export duty on grain, taking into account the real costs of farms for production. This was stated by the head of the State Duma Committee on Agrarian Affairs Vladimir Kashin at an expanded meeting of the committee on January 27. According to him, today 7 rubles are withdrawn from the agrarians in the form of a duty from each kilogram of grain sent for export. In general, over the year, the losses of farmers from the introduction of export duties amounted to more than 200 billion rubles, Vladimir Kashin cited the figures.

Original content

The deputy stressed that in many regions the selling price of wheat was equal to its production cost. “The current situation is leading to the ruin of farms,” he stated. The parliamentarian also said that more than 60 percent of the income seized through the export duty on grain was not returned to farmers. “During the year, 92 billion rubles were withdrawn, of which only 30 billion were returned to farmers,” the head of the committee stated. According to Kashin, the Government needs to revise the fee calculation formula. Following the meeting, a letter will be sent to the Cabinet of Ministers, he said. “We intend to discuss the proposals of the Government at the parliamentary hearings on February 16,” the deputy said. Since June 2, Russia has introduced a grain damper mechanism. In June, Russia launched a floating duty mechanism for exports of wheat, corn and barley outside the EAEU. According ...

Source: Zol