Russia's Grain Exports Plummet Amid Black Sea Logistics Disruptions

Russia's grain exports have seen a sharp decline in early September due to disruptions in Black Sea logistics. According to the Russian Grain Union, shipments of grains and pulses totaled 418,000 tons on September 1-10, compared with 2.4 million tons a year earlier, a 5.9-fold decline.

The drop was most pronounced in wheat exports, which fell 6.5-fold to 294,000 tons, while barley shipments decreased by 7.3-fold to 43,000 tons.

The disruptions were caused by changes in port logistics, with the Azov-Black Sea basin handling most shipments a year ago but Baltic ports becoming the main export gateways in early September.

Russia's domestic prices have already started to feel the effects of these disruptions, with producer prices falling to RUB 8.99 thousand per ton, or about $104 per ton, described as the lowest level in a decade.