Russia’s Ministry of Agriculture confirmed the approval of a new formula for calculating grain export duties that is set to be introduced from July 2015. The new customs mechanism follows the recent measure by the Russian Government on May 15 to cancel the customs export duty. It is designed to undercut soaring prices of grain that may result from the appreciation of the United States dollar. The formula begins restricting exports when the Russian ruble weakens to 60-70 rubles per 1 United States Dollar(USD) (currently 51 rubles per 1 USD), it thereafter converts the contract price from dollars to rubles and the exporters are obligated to pay a duty equivalent to half of the price minus 5 500 rubles. For example, if a trading company concludes contracts at USD 190 per tonne, and the exchange rate is 60 rubles per 1 USD, the export duty would amount to 200 rubles/3.3 USD per tonne (The duty would be calculated as ((190*60)/2)-5500)).