(AgWeb) – Russia will consider removing or cutting an export tax on wheat and imposing one on barley and corn (maize) exports, First Deputy Agriculture Minister Evgenii Gromyko said on Wednesday.
Concerns over possible tougher limits on Russia’s foreign sales of wheat had helped Chicago prices of the commodity hit a one-month high on Tuesday.
“The Agriculture Ministry has proposed cutting export duties. For now we are talking about wheat only,” Gromyko told reporters in Moscow, adding the ministry had also proposed removing the wheat tax.
Interfax news agency reported on Monday that the ministry was considering tougher limits on grain exports due to rising pork prices.
The ministry, which had previously planned to propose the government reduce or cancel its wheat export tax, declined to comment on the report until Wednesday.
The wheat export tax will be discussed at a meeting on Jan. 29 with Deputy Prime Minister Arkady Dvorkovich, who is in charge of agriculture, Gromyko said.
Russia has a floating tax on wheat exports. The formula is set at 50 percent of the customs price minus 6,500 roubles ($82) per ton but not less than 10 roubles per ton.
The possible introduction of an export duty for corn and barley will also be discussed with Dvorkovich, Interfax reported earlier on Wednesday, citing Gromyko.
Gromyko declined to speak to reporters about the possible level of barley and corn export duties.
“This question (over grain export taxes in general) has become very speculative,” he said.
