Russian Prime Minister Dmitry Medvedev has signed an order to cut a wheat export tax from October 1 to a level previously proposed by the government.
The Russian Ag Minister is proposing to raise the prices paid for restocking government stock piles by 1,000 roubles.
China will begin November 1 reducing the corn purchase price 10% for stockpiling. The hope is to improve processing margins and reduce stockpiles.
Russian wheat exports have been constrained by the tax, which has prevented exporters from fully benefiting from the weaker rouble and a large grain crop.
“The accepted decision will allow to support Russia’s exportable grain surplus, to secure the balance of the domestic agricultural market and the required profitability level of grain producers,” the government said in the statement on www.government.ru.
The government statement said nothing about prices for the state restocking programme. The Agriculture Ministry has previously proposed raising them.