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Expansion Planned for a New Land Grain Corridor from Russia to China

Prospects for expanding the New Land Grain Corridor (NLGC)—the crop production, logistics and transport belt across Russia, along the Trans-Siberian Railway—were presented in late July, during a visit to Russia’s Far East by Prime Minister Mikhail Mishustin. On July 22, he visited the Trans-Baikal Grain Railway Terminal’s grain operation. He gave statistics on Russia’s progress

in harvests and exports, saying that President Vladimir Putin “has instructed us to increase agricultural exports by 50% by 2030, compared to 2021.” He stressed that a major tool is “preferential lending” to farmers, along with assuring reliable fertilizer and other inputs. Agriculture Minister Oksana Lut also reported on achievements and goals. She made a point about wanting to increase Russian exports to China. “The key challenge remains reaching an agreement with our Chinese partners on tariff-free grain imports.”

The NLGC (NZSK in Russian), standing for the Moscow group of companies involved, foresees assembling the funding to expand the area of cropland involved in the infrastructure program, by several hundred thousand hectares. The focus is on the Urals, Siberia and the Far East. Major crops include wheat, oilseeds, barley, rye, oats, flax, and others.

The NLGC traces back some 14 years, with the stated support of President Vladimir Putin, and of the Chinese government. The purpose is to provide food security through economic cooperation—the grain cartels’ worst nightmare. At the time of the 2023 Belt and Road Summit in China, Russia agreed to supply 70 million tons of grain and oilseeds to China over the ensuing 12 years. Multiple deals were signed between Russia and China in Vladivostok at the September 2023 Eastern Economic Forum, for the new grain hub called the Grain Terminal Nizhneleninskoye-Tongjiang, with the railway bridge, located between Vladivostok in the Far East and Heilongjiang, China’s northeastern province.

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