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Russia's Agricultural Sector Faces Crisis as Machinery Shortage Threatens Crop Yields
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Russia’s agricultural sector is facing a systemic crisis and a machinery shortage, posing significant risks to food production and crop yields.
According to the Ukrainian Foreign Intelligence Service (SZRU) on February 26, agricultural machinery sales in Russia have dropped by 25%, and more than half of the machines in use are already worn out.
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The pace of machinery renewal is currently three times slower than needed, creating a large gap in production capacity. The agricultural sector in Russia is missing over 60,000 tractors and 34,000 combine harvesters.
“The current regulatory model effectively extracts resources from the sector through tariffs and taxes, failing to encourage modernization. When combined with export restrictions, this undermines the profitability of production,” the SZRU explains.
Farmers are also facing growing economic pressure, with profitability in Russian crop production plunging from 40% in 2020 to 15-16% in 2025. The high interest rates and low subsidy levels (only 1-2% of farmers’ income) make grain production unprofitable.
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Experts warn that the lack of investment in updating infrastructure will have severe consequences for Russia's domestic market.
“In the medium term, this increases the risk of food shortages in Russia's domestic market and rising prices,” the statement read.
Meanwhile, Russia has reportedly exported over two million tons of grain from territories in Ukraine under temporary occupation, presenting it as Russian produce while significantly expanding its pool of international buyers, according to the Ukrainian Foreign Intelligence Service. The agency outlined that Russia continued to systematically export grain harvested in these occupied regions, with a significant amount shipped through the port of Sevastopol.
During the second half of 2025 alone, approximately 1.4 million tons of this grain were sent abroad.
“Russia continues to export grain grown in the temporarily occupied territories of Ukraine, disguising it as Russian-origin produce,” said a statement from the SZRU.
Earlier, the Prosecutor General's Office of Ukraine informed a Deputy Minister of Agriculture from the Russian Federation of being suspected of committing a war crime in connection with the organized theft of Ukrainian grain.
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