Russia Expanding Trade into Saudi Arabia & China
Russia is expected to remain major exporter and expand its grain export share
Russia Expanding Trade into Saudi Arabia, China, and Potentially Singapore
Amid recent trade discussions with Russia, Saudi Arabia relaxed its wheat import restrictions, allowing bug damage of up to 0.5 percent; up from its previous limit of zero.
This could allow Russia access to Saudi Arabia’s wheat market.
China reported it has allowed imports of several feed ingredients from Russia.
Products included soybean meal, rapeseed meal, sunflower meal, and sugar beet pulp.
Russia also has been in talks with Singapore in hopes of gaining access to pork and poultry markets.
Russia has been working with several importing countries to expand its footprint on the global export scene.
FBN’s Take On What It Means: Russia is expected to remain a major exporter and to expand its grain export share. Russia’s proximity is close to key importers, allowing Russia to be competitive, especially from a shipping standpoint. While China and Russia had been in talks prior to the trade war between the U.S. and China, the war likely has encouraged deeper talks and quicker approvals. Russia is expected to remain the world’s largest wheat exporter and to continue to compete with U.S. exports.
Vietnam Culls 4.7 Million Pigs Due to African Swine Fever
The country is trying to contain an outbreak that now has been reported in all 63 provinces of the country.
The disease was first detected in Vietnam in February 2019, following the outbreak in China last year.
Vietnam’s pig herd was down 18.5 percent as of July 31 from the December levels.
Pork accounts for about three-fourths of total meat consumption in Vietnam.
Vietnam is one of the top 10 pork-producing countries in the world.
FBN’s Take On What It Means: Vietnam is forecast to partially offset losses in production with a record import program for 2019. Imports are up notably, year-over-year. However, imports still are forecast to be light relative to consumption. The U.S. is exporting pork to Vietnam. While a lot of market attention has been focused on China, the disease outbreak in Vietnam also is serious and could lead to opportunities for the U.S. pork industry.
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