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Wheat has already risen by 35%, the reasons for the lower prices no
Reduction in harvest of millet led to the growth of wholesale prices for wheat by 15% by the end of 2018, however, production continues to rise, growth rates since the beginning of December was 35%, now the reason for this be tariffs for energy and fuel, and the increase in VAT to 20%, which is linked to infrastructure costs, with factors for reducing the cost of production yet, said Director General of the analytical center "Prozerno" Vladimir Petrichenko.
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According to Rosstat, the grain harvest in Russia in 2018 amounted to 112,9 million tons in net weight, wheat is 72.1 million tons. In 2017, Russia received a record harvest in its history — of 135.5 million tonnes in net weight, including 86 million tonnes of wheat. According to the service in the last month of last year millet became more expensive on 4,6% in relation to December 2017. According to experts, in 2018 the acreage under millet has decreased to 259 thousand hectares with 266 thousand hectares in 2017. According to their forecasts, the harvest of culture for 2018 will amount to about 277 thousand tons. The harvest of millet in 2017 amounted to 318,1 thousand tons, in 2016 — 629,6 thousand tons.

According to General Director of "Prozerno", the low harvest last year, has already had its impact on prices. "Industry-wide factors influenced the fact that the price of wheat in the wholesale market rose to a new year (beginning of December — ed.) by almost 15% from 34 thousand rubles per ton to 39 thousand rubles per ton. Now the price keeps on moving, but it is not the industry factors and infrastructure: the growth of prices for energy, fuel, and the VAT increase, which is associated with infrastructure costs. Now price from 39-40 thousand rubles per ton rises to the level of 45-46, that millet first grade GOST", — says the expert.

According to him, until the new crop which will be harvested in September-October, the price level for wheat will remain high. "Factors that lowered the price now is hard to find", — concluded Petrichenko.

 

Source: Prozerno



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