Rostov Region Introduces Emergency Regime Due to Halt in Grain Exports

The Rostov region, which accounts for nearly 10% of Russia's grain harvest, has declared a state of emergency starting August 28. The suspension of operations at the ports of the Sea of Azov since mid-July due to drone attacks has been the main cause of the collapse. Previously, up to 1.5 million tons of grain were exported monthly through these terminals. In August, the largest grain terminals on the Black Sea were hit by drone strikes, paralyzing over 80% of the capacity for exporting Russian grain. Wheat exports from Russia in August fell to a 16-year low of just 1.9 million tons, which is 2.3 times lower than the figures from August last year. Arkady Zlochevsky, head of the Russian Grain Union, confirmed the critical state of farmers. Attempts to find alternative logistics routes have yielded no results, and the use of Baltic Sea terminals is limited. The price of 4th class wheat in the European part of Russia has dropped to 8,575 rubles per ton, which is 35% lower than at the beginning of the season. The Russian government is seeking alternative routes for grain exports due to the blockade of ports in the Black and Azov Seas.