Russia shifts its grain exports to the Baltic Sea and the Arctic

Russian companies are reconfiguring terminals at ports on the Baltic Sea and in the Arctic region to handle grain exports after Ukrainian drone attacks disrupted shipments through the Black Sea, according to sources cited by Reuters.

The Ultramar terminal in Ust-Luga, which primarily specializes in fertilizers and has a stated capacity of 37 million tonnes, began receiving grain in August. Rail shipments requested for September total approximately 260,000 tonnes, with destinations including Egypt and Saudi Arabia. The flows of Demetra, Russia’s largest grain trading and logistics operator, are expected to be redirected to this terminal.

The Modul and BSMZ terminals at the port of St. Petersburg are also now handling grain. Russian Railways has given priority to shipments bound for the Baltic Sea and the Arctic region, which are also benefiting from state subsidies.

The port of Murmansk, which can accommodate Panamax vessels and is accessible year-round, plans to begin grain exports in October. The shipment of an initial 40,000-tonne cargo from the Stavropol region has been approved.

Russia exported 4.4 million tonnes of grain in July and August, 31% less than during the same period last year. Most Russian maritime exports were previously carried out through the Black Sea.