ODA Market Alert: Russian wheat export tax. What are the implications?

ODA consider 🇷🇺 Russia’s decision last week to impose a tax on her wheat exports (applicable Feb-June) as a relatively bullish element for prices heading into the New Year. Why? Principally because it implies that less wheat supplies will be available to the world market. Furthermore, 🌎 world demand is strong and stocks levels in the major exporters are in decline. Much will depend on how Russian farmers react to the tax, in terms of their selling behaviour in the New Year. We will keep you informed.