Russia turns to giant plastic grain bags as Black Sea trade disruptions leave millions of tons unsold

Russian grain exports have fallen by about a third of their usual volume since early July, following attacks by Russia and Ukraine on each other's ports and vessels.

Agricultural consultancy IKAR estimates that Russia could have as much as 20 million metric tons of excess grain this year. Farmers are turning to large, airtight polyethylene bags, known as silo bags, to store crops that cannot be shipped.

Developed in Argentina in the 1990s and widely used in other countries, the sausage-shaped bags can each hold up to 200 metric tons of grain. They offer a relatively inexpensive alternative to traditional grain elevators and can be installed directly in fields.

Russia's Aeon Agro has increased its use of the bags eightfold since 2023, to 180,000 metric tons — more than half its total production, deputy CEO Dmitry Garnov told Reuters.

But the method requires careful monitoring. Rodents can enter through folds or damaged sections, while farmers use bird-scaring cannons to protect the stored grain. Poor storage conditions can also increase the risk of losses.

Russia has an estimated 160 million metric tons of conventional grain storage capacity, but experts say only about 40% meets modern standards. High interest rates make investing in new grain elevators difficult for many farmers.

The Russian Grain Association estimates that 10 million metric tons of grain, or about 7% of the country's annual harvest, is already stored in plastic bags.

According to petrochemical company Sibur, which supplies polyethylene to Russian bag manufacturers, grain can remain in the bags for up to 18 months. Researchers cited by Reuters said losses can be comparable to conventional storage when the bags are properly maintained.