Russia widens grain export curbs, halts some Aston ships, sources say

MOSCOW (Reuters) – Russian authorities have halted grain exports on some ships belonging to Aston, one of the biggest local grain trading houses, two industry sources said, widening a quality probe which has already curbed the exports of another major trader.

As the world’s top wheat exporter, any disruption to Russian shipments can drive up global prices.

According to the sources, Russia’s agricultural watchdog Rosselkhoznadzor has not provided some of the company’s vessels with phytosanitary certificates. One of the sources said two Aston vessels were not given the clearance.

According to data cited by the newspaper Kommersant, Aston exported more than 2.7 million metric tons of grain in the first half of the 2023/24 marketing season, the third-largest volume after Grain Gates and TD RIF.

Aston did not reply to request for comment.

Rosselkhoznadzor said in late March that there had been an increase in complaints from importing countries about the non-compliance of Russian grain quality with quarantine requirements, including supplies from TD RIF.

“No appeals from other grain exporting companies regarding problems with obtaining a phytosanitary certificate for grain products have been received by Rosselkhoznadzor,” the agency said in response to a Reuters request on Wednesday.

Petr Khodykin, owner of TD RIF, said last week his company’s loaded ships could not leave port, estimating the total volume of frozen shipments at 400,000 tons.

The agency has recently put forward oversight proposals, including tightening control over phytosanitary conditions for grain intended for export.

Russia expects record grain exports of 65 million tons this season on the back of a strong harvest and stocks.