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Kazakhstan seeks clarity from Russia over grain transit halt


FILE - An employee sweeps wheat grain at the Aktyk farm outside Astana, Kazakhstan, September 10, 2013.
FILE - An employee sweeps wheat grain at the Aktyk farm outside Astana, Kazakhstan, September 10, 2013.

Kazakhstan has halted grain exports to Russia, Kazakh officials said on Thursday, adding it has asked Moscow 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.

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

The two countries also tranship each others' oil to foreign markets.

The Russian state agricultural watchdog said this week that from Sept. 23, its systems would automatically block the issuance of phytosanitary certificates for grain, grain products, sunflower seeds, tomatoes, and peppers from Kazakhstan.

In the absence of such certificates, the goods cannot legally cross the border, and the Kazakh state railway company confirmed on Thursday that grain shipments to Russia have been halted.

Kazakh deputy agriculture minister Yermek Kenzhekhanuly said the Astana government has requested more detailed information on the alleged violations, had not heard back from Moscow and therefore could not comment further on what some industry players have described as a potential trade war.

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    Reuters

    Reuters is a news agency founded in 1851 and owned by the Thomson Reuters Corporation based in Toronto, Canada. One of the world's largest wire services, it provides financial news as well as international coverage in over 16 languages to more than 1000 newspapers and 750 broadcasters around the globe.

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