The move is expected to give domestic companies more control over the nation’s vast food resources, the agency claims
Chicago-based Archer-Daniels-Midland (ADM) has joined the latest exodus of commodities traders opting to pull out from Russia, the world’s top wheat exporter, Bloomberg reports on Friday, citing people familiar with the matter.
The company is reportedly reviewing its 50% stake in a joint venture with Russian partner Aston, which was launched five years ago to processes corn for producing sweeteners and starches for the food and beverage industry in the country.
Earlier this week, Bloomberg cited unnamed sources as saying that the company’s rivals Cargill and Glencore-backed Viterra, the two biggest Western exporters of Russian grain, would quit the Russian market.
Viterra is reportedly planning to announce the decision to exit the country soon, while Cargill is expected to stop exporting grain sourced by the company in Russia from July, but will continue to buy cargoes from other firms.
The move will reportedly follow intense pressure that international grain dealers have faced since the beginning of Moscow’s military operation in Ukraine.
READ MORE: Major exporter to stop shipping Russian grain – media
The agency highlighted that the exodus of Western majors would give local firms and Moscow more control over the country’s substantial food shipments, allowing the sanctions-hit nation to reap more of the revenues.
The Russian grain produce, seen as crucial for the global agriculture trade and to feed the world, wasn’t targeted by the Ukraine-related sanctions imposed on Moscow by the Western allies. At the same time, supplies could face hurdles due to the restrictions introduced against Russian banks and state corporations.
For more stories on economy & finance visit RT’s business section
April 01, 2023 at 10:55PM