Increasing Grain Exports: Russia’s Strategy to Boost Trade with Iran

According to the increase in grain and sunflower oil production in Russia and the decrease in agricultural harvests in Iran, the Caspian Sea route has become more active as a fast, low-cost, and intermediary-free option for exporting these goods, and Russia also plans to increase exports of corn, barley, and vegetable oil to Iran in the coming months.

Reason for the decrease in barley imports from Russia

Mr. Ghasemi commented on the reason for the decline in barley imports from Russia and the role of Kazakhstan in replacing it: In 2025, barley imports from Russia decreased due to export halts, increased duties, and restrictive policies. Kazakhstan became the main alternative to Russia with its high production, reasonable prices, and focus on exports to Iran, but now barley imports from Russia are gaining strength again.

Unfortunately, the ban on corn and barley exports from Russia since February 2025 has led to a sharp increase in prices, and the lack of allocation of government currency for the import of inputs since September has also faced suppliers with a liquidity crisis. On the other hand, exchange rate fluctuations and transportation costs, especially in northern ports, have disrupted import planning, and intense competition between countries (such as China) for quick purchases from Russia has deprived Iran of key opportunities. Of course, the role of political and sanctions risks in international relations, which have led to instability in contracts and supply routes, cannot be denied.