The ruble-denominated revenue from food exports has almost tripled in the last five years, according to the FinExpertiza analytical report (available at Invest Foresight).
Russian businesses earned a total of RUR1.57 trln ($24.1 bln) exporting food products in 2018, up from RUR517.87 bln ($8 bln) in 2013, according to the FinExpertiza report. Grain exports appeared to be the most profitable, yielding RUR658.12 bln ($10 bln) in 2018. Fish exports also reached a significant level of RUR269.47 bln ($4.1 bln). Vegetable fats fetched RUR167.96 bln ($2.6 bln). Fish, grains and fats accounted for 70% of Russia’s food exports.
Interestingly, these three categories of products also showed the largest five-year growth, by 330% from 2013 to 2018. Wheat accounts for the bulk of Russia’s grain exports: it is delivered to the Middle East and North Africa.
Earnings from the export of fish, crayfish and mollusks have tripled. The main buyers are China and South Korea. The income from the export of fats and oils has increased by almost 150% over five years, to RUR167.96 bln in 2018.
Russian manufacturers greatly benefit from the government’s import substitution policy, head of FinExpertiza Yelena Trubnikova noted. As a result, Russian companies enhanced expansion to domestic markets, and then went on to foreign markets, she added.