In January , the Russian government established a state grain company. However, the nature and full objectives of this company are not yet clear.
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Might one of its purposes be to use the grain sector to further the expansion of the domestic livestock sector, say by restricting grain exports at times of low harvests and high prices? Russia officially began its WTO accession bid in the mids. In the two key areas of import tariffs and domestic support, Russia in its accession negotiations has been asking for bound commitments above the existing levels a bound tariff or support amount is a maximum allowable level in the future.
However, Russia is negotiating for bound agricultural tariffs above actual applied tariffs. If Russia soon joins the WTO, its negotiated bound levels of tariffs and support might be above the current levels. Accession on such terms would not liberalize Russian agricultural trade and support policies, and thereby not increase imports. Yet, the United States and other foreign suppliers would benefit because the bound levels would provide a cap on any future rise in tariffs and support. During the s, Russia has become a big agricultural importer, especially of meat and processed foods, and a major grain exporter.
Even more so, Russia, Ukraine, and Kazakhstan together are now a very large grain exporting region. Russia likely will recover from its current economic crisis within a year or two. Its agricultural import growth thereupon should resume, though probably at a lower rate than in past years. One reason for import growth will be rising consumer income, and another expected reason will be renewed appreciation of the ruble in real terms.
A strong ruble will hurt the price competitiveness of all other domestically produced tradable goods, including agricultural products. Policies therefore could expand to curb agricultural imports, particularly of meat. Brock, G. Grazhdaninova, Z.
Lerman, and V. Uzun Lanham, MD: Lexington Books. Liefert, W. Agricultural reform: major commodity restructuring but little institutional change. Congress, Joint Economic Committee. Comparative dis? American Journal of Agricultural Economics , 84 3 , — Russia and World Trade Organization website. Russian State Statistical Service Rosstat. Moscow, annual. Serova, E. Vertical integration in Russian agriculture.
In Global supply chains, standards and the poor: How the globalization of food systems and standards affects rural development and poverty , pp. Wehrheim, P. Error rating book. Refresh and try again. Open Preview See a Problem? Details if other :.
Thanks for telling us about the problem. Return to Book Page. This text analyses the economy-wide effects of various trade and economic policies that have affected Russia's transition from plan to market in the past decade. The issues discussed relate to the allocative effects of macro-economic reforms exchange rate alterations or reforms in the agro-food sector which have affected Russia's economy in transition.
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Russia’s Agro-Food Sector - Towards Truly Functioning Markets | Peter Wehrheim | Springer
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