Russia's grain theft karma: Farming sector loses profits while costs surge
Illustrative photo: Russian agricultural sector faces challenges (Getty Images)
Russia's agro-industrial complex is facing a form of "karma" for stealing grain from Ukraine. Despite Kremlin claims of "self-sufficiency" in agricultural products, profitability and output in Russia's agricultural sector are steadily declining, reports the Foreign Intelligence Service of Ukraine.
The Kremlin claims Russia is sufficiently supplied with grain, oil, sugar, meat products, and more. However, sanctions and the war have pushed up the cost of credit, which Russian farmers rely on to survive.
Russia is trying to maintain investment appeal in agriculture and reduce import dependence. Still, despite Kremlin efforts, several problems persist:
-
Profitability in the agricultural sector fell from 20.3% in 2022 to 18.2% in 2025. To attract investments, this figure needs to be at least 30%.
-
Russia’s seed base remains highly dependent on imports. This is especially true for sugar beet and potato seeds.
-
Sanctions have raised costs for loans and agricultural machinery. Sales of Russian agricultural equipment have dropped 32% since the start of 2025.
"At this, there is an increase in the Russian imports of products of the agro-industrial complex to USD 12.9 billion (+12.5 % compared to the same period in 2024)," Ukrainian Foreign Intelligence Service added.
As a reminder, Deputy Prime Minister of Russia Dmitry Patrushev, son of former Federal Security Service Director Nikolai Patrushev, was accused of organizing the mass theft of grain from temporarily occupied Ukrainian territories. He has been charged in absentia.
The Russians steal Ukrainian grain, partly supplying it to Russia and partly selling it to loyal foreign regimes. For example, it was previously revealed that Russia exports grain from temporarily occupied Ukrainian territories to Iran.
At the beginning of 2025, Ukraine warned of harsh measures against countries buying stolen grain from Russia.
