The agriculture sector plays an important role in Russia’s economy, generating nearly 4% of the country’s GDP, employing 9% of the total workforce and accounting for 6% of the total exports. Over the past 15 years, Russia started from being a net importer of grains to emerge as one of the world’s largest grain exporters as a result of strong government support, improving yields and enlarging planted area. In 2016, the country’s overall sown area reached 80mn ha, with grain crops accounting for the bulk, or 60% of the total. Wheat alone, had a 35% share. Crops represented 55% of the country’s agricultural production value in 2016, ahead of the livestock sub-sector which generated the remaining 45%. In terms of type of producers, the sector is dominated by agricultural enterprises that produced 52% of the overall agricultural output in 2016. Households followed with a share of 35%.

FOREWORD

01 EXECUTIVE SUMMARY

Sector in Numbers

Sector Overview

Sector Snapshot

Sector Outlook

Driving Forces

Restraining Forces

02 SECTOR IN FOCUS

Main Economic Indicators

Main Sector Indicators

Focus Point – Planted Area by Federal District

Planted Area

Production

Sales

Consumption

Imports

Exports

Global Positioning

Investments

Prices

Employment and Wages

03 COMPETITIVE LANDSCAPE

Highlights

Timeline Russia Agriculture Sector

Market Structure

Main Players

Pork Market Structure

Poultry Market Structure

Meat Processing Market Structure

Top M&A Deals

M&A Activity, 2016-2017