Russia to change formula for calculating grain export taxes to support exports
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June 28 (Reuters) – Russia, the world’s largest wheat exporter, will alter its formula for calculating grain and sunflower oil export taxes to assist shipments amid a strong rouble forex, the overall economy ministry stated on Tuesday.
Russia has held exporting grains but there have been challenges with logistics and payments induced by the Western sanctions imposed on Moscow for its conclusion to send out troops into Ukraine on Feb. 24.
The robust rouble is another problem, hampering exports alongside with a substantial export tax. The currency is investing at a 7-12 months large to the U.S. dollar due to funds controls. GRA/RU
“A short while ago we have seen a pattern in direction of a gradual boost in world grain and oilseed prices, and a simultaneous strengthening of the Russian rouble,” Vladimir Ilyichev, deputy economic climate minister, mentioned a the statement.
The modify in the formulation will decrease the effect of the dynamic of the rouble-dollar trade amount on the dimensions of the export taxes and support exports “even though ensuring the stability of our domestic prices,” the ministry mentioned.
It did not say what the new formula would seem like.
Russia introduced its formulation-based responsibility for grain exports in June 2021 as component of measures the governing administration hoped would help to stabilise domestic food inflation. The agriculture ministry establishes the dimensions of the responsibility on a weekly basis, making use of rate indicators noted by traders.
The wheat export tax is set at $146.1 per tonne for June 29-July 5.
(Reporting by Reuters Enhancing by David Gregorio)
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