Russia Eyes Brazil As Trade Partner
The canny Russians are never slow to spot an opportunity are they? Negotiations are at an advanced stage according to media reports on a deal that will see Russia supply Brazil with a million tonnes of wheat in exchange for soybeans.
Brazil is traditionally a big importer of wheat, and usually takes much of its requirements from neighbouring Argentina. The latter of course have seen their wheat crop decimated by drought this year, and will not be an aggressive exporter in 2009.
The US had been hoping to pick up a large chunk of this potentially new business this year. Brazil normally import around 7mmt of wheat a year but their own domestic crop is seen around 3mmt higher this year.
Brazil is traditionally a big importer of wheat, and usually takes much of its requirements from neighbouring Argentina. The latter of course have seen their wheat crop decimated by drought this year, and will not be an aggressive exporter in 2009.
The US had been hoping to pick up a large chunk of this potentially new business this year. Brazil normally import around 7mmt of wheat a year but their own domestic crop is seen around 3mmt higher this year.