Kazakhstan seeks clarity over Russia grain transit

ASTANA:

Kazakhstan has asked Russia to prove claims it has breached rules on plant health, the reason cited by Moscow for an effective ban of imports and transit of Kazakh grain, Kazakh officials said on Thursday.

Russia is also a key transit country for other Kazakh exports such as oil and uranium, and trade tensions could make market players nervous about the steady supply of those commodities.

Both Russia and Kazakhstan are net grain exporters, but Kazakhstan, which mostly exports wheat to its neighbours in Asia, relies on transit through Russian territory to sell its grain in Europe and the Mediterranean.

The Russian state agricultural watchdog said this week that its systems would automatically block the issuance of phytosanitary certificates for grain, grain products, sunflower seeds, tomatoes, and peppers from Kazakhstan.