Forum for Science, Industry and Business

Sponsored by:     3M 
Search our Site:

 

Eastern breadbasket obstructs its market and growth opportunities

16.05.2014

IAMO Policy Brief 16 publishes latest findings

With almost 100 million tons per annum and a combined share of nearly 15 per cent in global wheat production Russia, Ukraine and Kazakhstan rank among the major grain nations. The enormous land and yield potentials of those countries have earned them considerable importance for world grain markets and thus global food supplies.

Their growth opportunities, however, are severely inhibited not only by the current turmoil after the Russian-Ukrainian conflict but notably by problematic trade and market policies, a low level of production reserve usage and significant deficits in marketing infrastructures. In Policy Brief 16 IAMO researchers illustrate by means of their findings which production and market potentials can be expected in the grain industries of Russia, Ukraine and Kazakhstan and which obstacles the Eastern agricultural producers are facing.

In the past few years Russia, Ukraine and Kazakhstan have established themselves as key players in the international grain market on the strength of positive developments in wheat production. Their per-hectare yields, however, are still less than half of average yields on Western European farmland. Current IAMO calculations indicate that appropriate measures, such as recultivation of recently set-aside land could increase wheat production in Russia alone by up to 50 million tons per annum. Yet, the mobilization of such production and export potentials decisively depends on the future production and competitive conditions as well as political framework conditions.

Russia, Ukraine and Kazakhstan intervened in grain markets over the last decade with a series of export restrictions in response to rising world market grain prices. Such state interventions led to considerable market uncertainty, the virtual cessation of exports and a malfunction of controlled price formation. The IAMO researchers point out that such populistic trade and market policies will reduce investment incentives in the grain industry in the medium and long term and thus counteract market functionality.

To this adds that productivity and yield potentials in transition countries are exhausted only slightly or with large regional differences due to persistent productivity gaps. Investment and management deficits are hampering farm growth and efficient utilization of entrepreneurial resources. There is also a massive investment and modernization deficits in marketing infrastructures, such as warehousing, inland transport and port capacities, which obstructs market transactions and export opportunities.

‘In view of these circumstances, it cannot be expected that Russia, Ukraine and Kazakhstan will be capable of realizing their market and growth potentials in the foreseeable future. Urgent prerequisite for their realization is prioritization of market-conforming and export-friendly policies as well as investments into spatial and farm infrastructures’, explains IAMO director Thomas Glauben.

The IAMO Policy Brief 16 titled ‘Eastern breadbasket obstructs its market and growth opportunities’ is available for downloading free of charge in English, German and Russian languages at: www.iamo.de/publikation/policybriefs

IAMO Policy Briefs

The publication series IAMO Policy Brief is published at irregular intervals and provides a platform for research findings and outcomes of the Institute of Agricultural Development in Central and Eastern Europe (IAMO) with social relevance to be communicated accessibly and entertainingly to a broad audience. Key target groups include political decision-makers, mass media representatives and the general public.

About IAMO

The Leibniz Institute of Agricultural Development in Transition Economies (IAMO) analyses economic, social and political processes of change in the agricultural and food sector, and in rural areas. The geographic focus covers the enlarging EU, transition regions of Central, Eastern and South Eastern Europe, as well as Central and Eastern Asia. IAMO is making a contribution towards enhancing understanding of institutional, structural and technological changes. Moreover, IAMO is studying the resulting impacts on the agricultural and food sector as well as the living conditions of rural populations. The outcomes of our work are used to derive and analyze strategies and options for enterprises, agricultural markets and politics. Since its foundation in 1994, IAMO has been part of the Leibniz Association, a German community of independent research institutes.

Please note that since the beginning of this year the Leibniz Institute of Agricultural Development in Central and Eastern Europe is renamed Leibniz Institute of Agricultural Development in Transition Economies. The acronym IAMO is still valid.

Media contact

Daniela Schimming
Public Relations
Tel.: +49 345 2928-330
Fax: +49 345 2928-499
presse@iamo.de
www.iamo.de

Daniela Schimming | idw - Informationsdienst Wissenschaft

Further reports about: Agricultural IAMO Leibniz-Institut deficits global wheat production

More articles from Agricultural and Forestry Science:

nachricht How algae could save plants from themselves
11.05.2016 | Carnegie Institution for Science

nachricht Biofeedback system designed to control photosynthetic lighting
10.05.2016 | American Society for Horticultural Science

All articles from Agricultural and Forestry Science >>>

The most recent press releases about innovation >>>

Die letzten 5 Focus-News des innovations-reports im Überblick:

Im Focus: Worldwide Success of Tyrolean Wastewater Treatment Technology

A biological and energy-efficient process, developed and patented by the University of Innsbruck, converts nitrogen compounds in wastewater treatment facilities into harmless atmospheric nitrogen gas. This innovative technology is now being refined and marketed jointly with the United States’ DC Water and Sewer Authority (DC Water). The largest DEMON®-system in a wastewater treatment plant is currently being built in Washington, DC.

The DEMON®-system was developed and patented by the University of Innsbruck 11 years ago. Today this successful technology has been implemented in about 70...

Im Focus: Computational high-throughput screening finds hard magnets containing less rare earth elements

Permanent magnets are very important for technologies of the future like electromobility and renewable energy, and rare earth elements (REE) are necessary for their manufacture. The Fraunhofer Institute for Mechanics of Materials IWM in Freiburg, Germany, has now succeeded in identifying promising approaches and materials for new permanent magnets through use of an in-house simulation process based on high-throughput screening (HTS). The team was able to improve magnetic properties this way and at the same time replaced REE with elements that are less expensive and readily available. The results were published in the online technical journal “Scientific Reports”.

The starting point for IWM researchers Wolfgang Körner, Georg Krugel, and Christian Elsässer was a neodymium-iron-nitrogen compound based on a type of...

Im Focus: Atomic precision: technologies for the next-but-one generation of microchips

In the Beyond EUV project, the Fraunhofer Institutes for Laser Technology ILT in Aachen and for Applied Optics and Precision Engineering IOF in Jena are developing key technologies for the manufacture of a new generation of microchips using EUV radiation at a wavelength of 6.7 nm. The resulting structures are barely thicker than single atoms, and they make it possible to produce extremely integrated circuits for such items as wearables or mind-controlled prosthetic limbs.

In 1965 Gordon Moore formulated the law that came to be named after him, which states that the complexity of integrated circuits doubles every one to two...

Im Focus: Researchers demonstrate size quantization of Dirac fermions in graphene

Characterization of high-quality material reveals important details relevant to next generation nanoelectronic devices

Quantum mechanics is the field of physics governing the behavior of things on atomic scales, where things work very differently from our everyday world.

Im Focus: Graphene: A quantum of current

When current comes in discrete packages: Viennese scientists unravel the quantum properties of the carbon material graphene

In 2010 the Nobel Prize in physics was awarded for the discovery of the exceptional material graphene, which consists of a single layer of carbon atoms...

All Focus news of the innovation-report >>>

Anzeige

Anzeige

Event News

Networking 4.0: International Laser Technology Congress AKL’16 Shows New Ways of Cooperations

24.05.2016 | Event News

Challenges of rural labor markets

20.05.2016 | Event News

International expert meeting “Health Business Connect” in France

19.05.2016 | Event News

 
Latest News

11 million Euros for research into magnetic field sensors for medical diagnostics

27.05.2016 | Awards Funding

Fungi – a promising source of chemical diversity

27.05.2016 | Life Sciences

New Model of T Cell Activation

27.05.2016 | Life Sciences

VideoLinks
B2B-VideoLinks
More VideoLinks >>>