Russia: will raise export duty on grain

Moscow / RU. (rian) Russia will cut import duty on dairy products due to rising prices and raise export duty on grain. According to the news agency «Novosti», Finance Minister Alexei Kudrin said: «As far as the Russian market is concerned, I can say that we have enough grain. This year we harvested even more grain than last year. We will limit the desire to sell grain at higher prices by raising export duty». Economic Development and Trade Minister Elvira Nabiullina said that due to the food price rise, import duty on milk and dairy products would be lowered in the near future. The ministers said that rising food prices were the main driver of overall price growth in Russia, and would push 2007 inflation beyond the eight percent target, to nine percent. Agriculture Minister Alexei Gordejev said a state corporation should be set up to export grain. In August the minister had plead for the idea to set up an international organization to coordinate grain markets – a kind of «grain OPEC».