Sector Highlights

Sector Highlights

Agribusiness is one of the most important sectors of economy, it employs over one-third of the world's population. Agribusiness development is a necessary trigger for a broader, sustainable economic development for most countries as it stimulates self-sustaining growth in two principal ways - through rising productivity it increases the incomes of farmers, and it releases labor from subsistence farming that can be employed in manufacturing or service activities.

Russia has more than 200,000 farm holdings and small agricultural businesses, which account for up to 50% of Russia’s agricultural production.

2020 Agribusiness development

  • In 2020, growth of agribusiness production output (agricultural production index) amounted to 101.5%.

  • The volume of production of agricultural products in current prices in January–December 2020 amounted to RUB 6.1 trillion.

  • According to the Ministry of Agriculture of Russia, in the 2020/21 season the grain harvest amounted to 133.5 million tons (+10.1% compared to the 2019/20 season).

  • In 2020, the trend of sustainable growth of production of the main types of livestock products is maintained: increase in meat production (+3.1%), milk (+2.7%), egg production (+0.1%) in all categories of farms.

  • In 12M 2020, growth rate of food production is recorded, the industry growth index amounted to 103.5%.

  • The volume of exports of agricultural products in January–December 2020 amounted to USD 30.7 billion (+20% compared to the same period of 2019).

  • Export growth drivers: crops (34%), fish and seafood (17%).

Source: Government of Russia; Ministry of Agriculture of Russia; Russian Federal State Statistics Service; Russian Grain Union; the Bank information.