Food crisis looms in Russia as costs soar and machinery fails, intel says
Photo: Russia faces a systemic crisis in the agricultural sector and a shortage of equipment (Getty Images)
In Russia, a systemic crisis in the agricultural sector and a shortage of equipment pose real risks to food production and crop yields, according to the Foreign Intelligence Service of Ukraine.
Read also: Russia's grain theft karma: Farming sector loses profits while costs surge
Technical decline of villages in Russia
According to intelligence data, sales of agricultural machinery in Russia have fallen by a quarter, and the wear and tear of the machine park has already exceeded 50%.
The rate of equipment renewal is three times lower than the required norm, which creates a huge gap in production capacity.
The Russian agricultural sector lacks more than 60,000 tractors and 34,000 combine harvesters.
"The current regulatory model effectively extracts resources from the industry through duties and taxes and does not encourage modernization. Combined with export restrictions, this undermines the profitability of production and the competitiveness of farmers," the Foreign Intelligence Service of Ukraine notes.
Economic pressure on farmers
FISU reports that the profitability of Russian crop production has plummeted from 40% in 2020 to 15-16% in 2025.
High interest rates and low subsidies (only 1-2% of farmers' income) make grain production unprofitable.
Forecast for deficit
Experts warn that the lack of investment in upgrading the base will lead to inevitable consequences for the aggressor's domestic market.
"In the medium term, this increases the risk of food shortages in the domestic market of Russia and price increases," the FISU concludes.
Crisis in Russian agricultural sector
Systemic problems in Russian agriculture have been noted before.
Russian agriculture began to catch up with the so-called karma due to sanctions pressure and technological isolation.
Criminal aspects of the activities of the Russian leadership have also come to light. In particular, the son of the former secretary of the Russian Security Council, Dmitry Patrushev, who headed the Ministry of Agriculture, has been charged with organizing a scheme to steal Ukrainian property.
In addition to internal problems, Russia continues to use the occupied territories for illegal enrichment.
Russian troops use sea terminals to smuggle grain exported from the temporarily occupied regions of Ukraine.