The Russian state bank VTB, which is active in the purchase of infrastructures used in grain export, acquired a majority stake in Rustranscom, the largest company in the country in the field of railway and grain transport. VTB, the country’s leading companies in the field of grain trade Mirogroup’a also said to plan to be a partner.
VTB, Russia’s second largest bank, has announced that it will acquire a majority stake in the Russian railway company Rustranscom (RTC), which is active in the transportation of grain and timber. The bank will acquire a 50% + 1 stake in the company, which has 68,000 freight cars, and will make Russia’s supply chain more efficient and competitive with other grain export and logistics units. In a statement made by VTB, Russia has increased the production and export of wheat and other grains significantly in recent years . “Russia is among the top three in these areas in the world. Russia’s agriculture, economy and the whole country as a whole has taken on a strategic outlook. ”
According to Reuters, Mirogroup, a grain trader, is also on VTB’s radar. The company exported 2 million tons of grain last year. VTB is also working on an export plan of 6 million tons in the new season. Combining the potential of the two companies, VTB may be the largest grain exporter in Russia. TD Rif, the current leader of the Russian market, exports between 6 and 7 million tons.
VTB surprised players in the sector by acquiring the second grain terminal at Novorossiisk port on the Black Sea. Thanks to this step, the Bank increased its control over the major deep water export centers in Russia, the world’s largest wheat exporter. Yuri Soloviev, Deputy CEO of VTB, said they could cooperate with the Russian government to increase the country’s potential for grain exports. Russia’s second largest bank VTB’s investments in the grain export infrastructure, the Russian government is also interpreted as an attempt to increase the weight of the sector. The bank, which is a partner of two grain terminals at Novorossiisk port on the Black Sea, has begun negotiations to purchase the Taman terminal.
Credit: Millermagazine.com
