MOSCOW, Dec 14 (Reuters) - Russia plans to impose a set of measures to slow the rise of domestic food prices, its government said at a meeting on Monday.
Below is a list of the measures:
- Russia plans to introduce a grain export quota for overseas shipments of wheat, rye, barley and corn (maize) of 17.5 million tonnes for Feb 15-June 30.
- Russia plans to introduce a wheat export tax of 25 euros ($30.4) within that quota for Feb 15-June 30. If the exporting volumes exceed the quota, the tax for wheat will be raised to 50% of the customs price, but no less than 100 euros per tonne.
- The exporting duty for rye, barley and corn within the quota is planned at zero.
- Russian producers of flour and bread will get state subsidies to compensate part of their production costs. The government will spend 7.2 billion roubles ($99 million) on their support.
- The government expects these measures to cut domestic prices for milling wheat in European Russia to 14,000 roubles ($192) a tonne excluding taxes by year-end, and to 13,000 roubles a tonne by the end of February.
- Domestic prices for third-class wheat fell by 225 roubles to 15,725 roubles per tonne last week, according to Sovecon agriculture consultancy.
- The government plans to approve its right to regulate domestic prices for “socially-important products” - such as bread and other food staples - for 90 days if their monthly price growth exceeds 10%, excluding seasonal factors.
SUGAR AND SUNFLOWER OIL
- Russian sugar and sunflower oil producers will agree price reductions for their product with retail chains by Dec. 20. The agreement will be in place until the end of March, 2021.
- If this measure does not work, Russia may impose an export tax on sunflower oil and cut import duty for sugar cane. The decision on possible sunflower oil tax is expected to be taken on Dec. 21.
- Russian producers of sugar will get subsidised short-term loans with a rate of 1-5% to purchase sugar beet for refining. The government plans to spend 2 billion roubles on this.
- Russian farmers will increase sugar beet sowing area in 2021.
- Russian export duty for sunflower seeds will be set at 30%, but not less than 165 euro per tonne, between Jan. 9 and June 30. ($1 = 0.8227 euros) ($1 = 72.9960 roubles) (Reporting by Polina Devitt Editing by Peter Graff)
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