Minister: Russia may harvest 107 mln tns of grain in 2017

MOSCOW, Mar 2 (PRIME) -- Russia will harvest at least 107 million tonnes of grain in 2017 if the weather is good, compared with 199 tonnes in 2016, Agriculture Minister Alexander Tkachyov said at a government meeting on Thursday.

“I’m sure that we will successfully hold the spring sowing, which will allow us to harvest no less than 107 million tonnes of grain this year if weather conditions are favorable, as it is encompassed by the state program,” he said.

Russia also plans to keep global leadership in wheat exports this agricultural year that started on July 1, 2016 and will end on June 30, 2017, Tkachyov said.

“As you know, we had a record high harvest of over 119 million tonnes last year. This allows us to ensure demand of the domestic market fully, keep global leadership in wheat exports and develop exports of other crops,” he said.

Russia has already exported over 24 million tonnes of grain since the start of this agricultural year, while exports for the whole year are expected at 37 million tonnes. “This is 7% higher than last year,” the minister said.

Prime Minister Dmitry Medvedev said that Russia has enough funds for preferential loans for spring field works, but may increase the program for the autumn harvest.

“Resources for spring field works are currently sufficient, but we will consider an increase of the program for autumn seasonal works,” he said.

Medvedev also supported the central bank’s proposal to increase the number of banks that give preferential loans to agricultural producers.

Central Bank Chairwoman Elvira Nabiullina said at the meeting, “The analysis of the situation in regions shows that many banks, which traditionally provided loans to agricultural enterprises, especially to small ones, are not included into this program. Not only it leads to unequal conditions of competition, but also reduces access of agricultural producers, especially small ones, to banking services… In our view, it would be reasonable to expand the number of banks that take part in this program.”

Medvedev also said Russian farmers should not fear that Western sanctions will be abolished in the near future.

“As I have recently said, our partners are taking all the decisions for the sanctions to be of a permanent character,” he said. “This is why it creates goods conditions for agricultural development.”

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