Russia lifts ban on sugar exports to EEU member countries

YEREVAN, September 1. /ARKA/. On August 31, 2022, Russia lifted the ban on exports of sugar to several former Soviet republics, which are members of the Russia-led Eurasian Economic Union (EEU).

Russia restricted supplies of sugar to the EEU member states on March 15, 2022. According to the Russian government, the decision was taken to protect the domestic food market in the face of external restrictions.

Exports of sugar was possible only by special permits of the Ministry of Agriculture. According to the Russian Federal Customs Service, the Russian Federation exported 440 thousand tons of sugar in 2021. Gleb Tikhomirov, Sucden's CFO in Russia, told Interfax that the decision to ban exports "was effective in terms of limiting the growth of sugar prices in Russia, but not very correct in terms of creating a real free market within the EEU."

"I think there should be no restrictions on the movement of goods and services within the EEU at all, and various exceptions to this rule undermine this principle, which could damage trade relations with the EEU countries," he said.

According to the General Director of the Institute of Agricultural Market Conjuncture, Dmitry Rylko, this year Russia will get a good yield of sugar beet, which will allow to produce 6.2-6.5 million tons of sugar.

According to the Ministry of Agriculture, as of August 25, the yield of sugar beet was 489.8 c/ha against 421.6 c/ha a year earlier. As of now, 2 million tons of sugar beets have been harvested, which is 0.8 million tons more than during the same period last year. -0-