Russia's Grain Export Crisis Worsens with Rostov Region Emergency
Russia's Rostov region has declared a state of emergency due to issues with grain exports. The region accounts for nearly 10% of Russia's grain harvest, and since mid-July, ports on the Sea of Azov have shut down following drone attacks. This move has crippled more than 80% of Russia's capacity for exporting grain through these ports.
According to estimates by SovEcon, wheat exports from Russia fell to a 16-year low in August, reaching only 1.9 million tonnes. Arkady Zlochevsky, president of the Russian Grain Union, stated that the situation 'looks very bad' and that shipments in the Sea of Azov basin have come to a halt.
Industry representatives believe there is currently no full replacement for the Black Sea routes, which were also impacted by drone attacks. Russia's Ministry of Agriculture is preparing for state grain purchases and exploring alternative export routes through Arctic Ocean ports.