Russia Becomes a Grain Superpower as Wheat Exports Explode
▻http://www.bloomberg.com/news/articles/2016-10-06/russia-upends-world-wheat-market-with-record-harvest-exports
“Russia will be among the top exporters for a long time, especially given the potential advances in productivity there,” said Tom Basnett, general manager at Market Check, a Sydney-based commodity consultant. “Other producers need to fight harder to maintain their traditional markets.”
The boom in Russia is attracting some of the world’s biggest trading houses, with Olam International Ltd., Cargill Inc. and Glencore Plc investing into everything from silos to export terminals.
Rich soil, government support and proximity to Black Sea ports for shipping means Russian costs can be as little as half those of major competitors supplying key import markets in the Middle East, according to researchers at Kansas State University.