Russia suspends grain export tariffs to boost trade with Türkiye

RUSSIA – Russia, the world’s leading grain exporter and Türkiye’s largest wheat supplier, has announced a temporary suspension of export tariffs on wheat, barley, and corn, effective from August 13 to August 19, 2025.

The decision, reported by Turkey Today and announced by Russia’s Agriculture Ministry, aims to enhance trade with Türkiye, a key player in the global flour market, and stabilize domestic grain prices.

The decision follows Türkiye’s adoption of a duty-free wheat import policy under its inward processing regime on March 19, 2025.

This arrangement allows Turkish flour mills to bring in wheat without paying customs duties, on the condition that they export an equivalent quantity of processed flour. The alignment of the two policies is expected to further stimulate grain flows between the two countries.

The tariff suspension eliminates duties of US$0.24 per tonne on wheat and US$4.65 per tonne on corn, while barley tariffs, already set at zero, remain unchanged. This short-term measure is part of Russia’s “grain damper mechanism,” introduced in June 2021 to balance domestic food price stability with export competitiveness.

The mechanism recalculates duties weekly based on benchmark export prices from the Moscow Exchange. For the week of August 13, wheat was priced at US$223.5 per tonne, barley at US$199.7, and corn at US$220, compared to reference prices of 18,000 rubles (US$225), 17,875 rubles (US$223.44), and 16,875 rubles (US$211) per tonne, respectively.

Türkiye, the world’s top flour exporter and Russia’s second-largest grain buyer after Egypt, imported 7.2 million tonnes of Russian grain in 2024. Russia’s record-breaking export of 72 million tonnes last year also served markets like Iran, Saudi Arabia, and Bangladesh.

Export duties on Russian wheat have varied significantly in 2025, peaking at nearly 4,700 rubles per tonne in January before dropping to zero in early July. The mid-August suspension marks another break from tariffs at a time when global grain markets are closely watching Black Sea trade flows.

For Turkish buyers, the temporary removal of duties offers both cost relief and greater supply security ahead of the autumn flour export season.

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