|Singapore-listed Don Agro International, one of the largest agricultural companies based in the Rostov region of Russia, said it has upgraded the winter wheat class of its harvest to third class, commanding up to USD5 more per tonne.
With the completion of harvesting works for this year, the Company has harvested 72,300 tonnes of winter wheat as of November 2021, driven by land bank acquisitions and the implementation of innovative technologies.
The upgrade to third class is due to the increase in the content of protein from approximately 12.5% to 13.5%. The good news is:
|• Third class of wheat commands an increased pricing of USD1.5 to USD5 as compared to the fourth class,
• The price of third class of winter wheat reached USD313 per tonne at the end of November 2021 based on the Chicago Board of Trade, representing a 50% year-on-year increase from its price in November 2020.
The last time prices of winter wheat were that high was in January 2013.
Said Mr. Marat Devlet-Kildeyev, Chief Executive Officer of Don Agro International:
“The increase in the yield and quality of our products is the result of the consistent development and progress of the Company, which is achieved due to several factors. The first is the renewal of the vehicle fleet as we buy the most modern and productive machines every year. The second, of course, investments
in the soil itself - we increase its fertility by applying organic and mineral fertilizers. The third is quality control, for which we also use quadcopters. Fourth, with the introduction of new technologies, we constantly experiment with improving the quality and ultimately the profitability of our operations. Wheat prices have
reached an all-time high since January 2013, and therefore we are confident in the future of the Company."
Another direction of the Company’s development is the reduction of environmental impact.
Don Agro increases the amount of land on which no-till technology is applied annually and there is more than 7,000 hectares of such land currently. The method effectively eliminates any mechanical impact on the soil, which,among other things, reduces emissions into the atmosphere. The Company plans to expand the no-till area to 8,000 hectares in 2022.