Sector Highlights

Agribusiness is one of the most important sectors of economy, it employs over one-third of the world's population. Agribusiness development is a necessary trigger for a broader, sustainable economic development for most countries as it stimulates self-sustaining growth in two principal ways - through rising productivity it increases the incomes of farmers, and it releases labor from subsistence farming that can be employed in manufacturing or service activities.

Russia has more than 200,000 farm holdings and small agricultural businesses, which account for up to 50% of Russia’s agricultural production.

2017-2018 Agribusiness development

  • Agricultural production in 2017 amounted to RUB 5,111.7 billion, agricultural production index – 102.5%.
  • In 2017, the grain yield amounted to a record 135.5 mln tonnes. The yield for 2018 has amounted to 112.8 mln tonnes.
  • In 2017, the production of corn totaled 13.2 mln tonnes, sunflower seeds – 10.5 mln tonnes, rice – 9.9 mln tonnes, soya beans – 3.6 mln tonnes.
  • For the season 2017/2018 (from July 2017 to June 2018) exports of grain reached 52.4 million.
  • In 2017, exports of agricultural goods from Russia reached USD 20.7 billion, which is a 21% growth as compared to 2016. In 2018, exports are forecasted at USD 25 billion.
  • In 2017, all categories of enterprises produced 14.6 million tons of livestock and poultry (in live weight) (104.6% over 2016), 31.2 million tons of milk (101.4% above the level of 2016).
  • In 2017, the share of agribusiness, forestry and fishery accounted for 4.4% of Russian GDP.

In 2018, production growth across the sector is expected to slow down to around 100-101%.

In 2017, the federal budget expenditures for agribusiness support totaled of RUB 248.4 billion.

Source: Government of Russia; Ministry of Agriculture of Russia; the Bank information.