NEW YORK, February 7. /Corr. Ivan Sawyers/. Russia increasingly competes with the United States and Canada on the world wheat market due to the strengthening of the dollar. This is stated in an article published Sunday in the newspaper The Wall Street Journal.
As the newspaper notes, among the States, where wheat producers benefit from the growth rate of the American currency, including Russia, Argentina and France. The material States that French wheat is already being sold in Indonesia, and Russian – in Nigeria.
The Ministry of agriculture increased the forecast of grain exports from the Russian Federation in the marketing year to 32.8 million tons
“This agricultural year Russia has all chances to become the largest exporter of, – the newspaper writes. – According to the U.S. Department of agriculture, wheat exports from the U.S. in accordance with the forecast to fall to its lowest in 44 years indicators to 21.8 million tonnes, while Canada is expected to deliver 20.5 million tonnes, up from 24.1 million tons a year earlier”. Russia’s exports, according to the USDA forecasts, “will increase by 3 percent to 23.5 million tons”.
According to the article The Wall Street Journal “Russian wheat, given its low cost, begin to put there where it has not been for many years, if ever”, it strengthens its position in markets where leading role was played by the U.S. and Canada.
The newspaper also writes that as a result of lower world prices for wheat, which, in particular, American producers suffer losses. “It’s hurting farmers in the United States, being one of the reasons that incomes from agriculture, according to the Ministry of agriculture, fell by 38% last year”, – notes the edition.
Russia’s agriculture Ministry has confirmed the forecast for the harvest in 2016 at the level of 104 million tonnes