Russia Introduces Export Duty on Flaxseed and Quotas on Corn Exports

Russia Introduces Export Duty on Flaxseed and Quotas on Corn Exports
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The government of the Russian Federation has decided to implement a 10% export duty on flaxseed exports outside the Eurasian Economic Union. This initiative will be in effect until August 31, 2026, and aims to stimulate the operations of domestic flax processing enterprises, as well as to support the balance between domestic consumption and external raw material supplies.

This is reported by AgroReview

Purpose of the Duty and Expected Impact

The introduction of the export duty was initiated by the Oil and Fat Union of the Russian Federation. The executive director of the association, Mikhail Maltsev, noted that flax is the only oilseed crop that until recently lacked protection to support domestic processing, despite the rapid increase in the number of processing enterprises in the country. According to Maltsev, the introduction of the duty will allow a larger portion of the harvest to be directed to the domestic market and will contribute to the development of the processing industry.

“Flax is the only oilseed crop that still lacked mechanisms to protect domestic processing, while new processing enterprises are actively being established in the country.”

Forecasts for Flax Production and Export Restrictions on Corn

According to estimates from the Institute for Agricultural Market Conjuncture (IKAR), in the 2025/26 marketing year, the gross harvest of flaxseed in Russia could reach 1.3–1.4 million tons. In comparison, in the previous season, this figure was 1.25 million tons, and in the 2023/24 marketing year — 1.15 million tons. Analysts note a positive trend in the production of the crop against the backdrop of stable demand in both domestic and foreign markets.

Additionally, the Russian government has decided to establish tariff quotas for duty-free exports of corn grown in Primorsky Krai and the Amur Region. A quota of 280,000 tons has been set for Primorsky Krai and 130,000 tons for the Amur Region. These restrictions will be in effect until December 31, 2025. As noted in the Cabinet of Ministers, these measures have been implemented considering the projected balance of corn production and consumption in the Far Eastern Federal District.

It is expected that these decisions will allow local producers to more effectively sell surplus harvests in foreign markets in case of insufficient demand in neighboring regions.

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Адреса: https://agroreview.com/en/newsen/agripolicy/russia-introduces-export-duty-flaxseed

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