This time it is not oil or natural gas, but linseed oil, a vegetable oil turning into a major export product for the Russian economy
A new economic success is being recorded by Russia, which appears to have discovered an exceptionally profitable "gold vein" in the agricultural sector, dramatically boosting its exports and creating new sources of foreign exchange. This time it is not oil or natural gas, but linseed oil, a vegetable oil turning into a major export product for the Russian economy. According to data from the federal center Agroexport, Russia managed to claim the second position globally in linseed oil exports during the first half of 2026, making an impressive leap from the fourth position it held previously. As Agroexport chief Ilya Ilyushin stated, linseed oil is evolving into one of the most promising sectors of Russian agricultural exports.
Explosive rise: Russia surpassed competitors and approaches the top
Financial data reveal the scale of the growth. In the first half of 2026 alone, Russia exported 31,700 tons of linseed oil, valued at a total of 32.5 million dollars. To put the increase into perspective, throughout all of 2025 Russian exports of this specific product were limited to just 10,000 tons, bringing in approximately 12 million dollars. This means that in just six months, Russia exported more than triple the quantity of the entire previous year. The country significantly surpassed Belarus, which placed third with exports valued at 11.1 million dollars, while Belgium maintained the top spot with 81 million dollars.
Millions from linseed oil, billions from vegetable oils
The impressive growth of linseed oil constitutes only a small part of Russia's broader success in the vegetable oils and fats sector. In 2025, total Russian exports in this specific sector reached approximately 9.3 billion dollars, forming a major source of foreign exchange for the country. FINAM Strategy Director Yaroslav Kabakov points out that the major challenge for Russian industry is no longer merely increasing production, but primarily boosting profitability through higher value-added products. The results are already visible. During the first half of 2026, the value of vegetable oil exports rose by 17%, reaching 4.3 billion dollars, while exported volume increased by just 3%, reaching 3.5 million tons. This development shows that revenues are growing much faster than exported quantities.
Moscow's new industrial weapon: Investments of billions of rubles
Behind this development lies Russia's strategy to curb exports of raw materials and increase their domestic processing. Deputy Director of consulting firm ARB Pro, Roman Koposov, underlines that the development of new industrial facilities is gradually changing the landscape. In 2025, Russia exported approximately 1.2 million tons of flaxseed, valued at over 590 million dollars, while exports of processed linseed oil were comparatively limited. The establishment of new factories now allows the country to utilize a larger share of the raw material domestically. A characteristic example is the ASVA plant, created in collaboration with Aston in the Rostov region. This specific investment exceeded 3.2 billion rubles, while the facility is designed for an annual output of 53,500 tons of oil. Thanks to the expansion of processing activity, Russian linseed oil production reportedly increased nearly sixfold in the first half of 2026, approaching 40,000 tons.
New economic power for Russia: The big export bet
The economic benefits are not limited exclusively to exporting enterprises. According to estimates presented, Russian budget revenues from export duties on oils and oilseeds are calculated at nearly 45 billion rubles for 2025 and 63 billion rubles for 2026. Russia, which already holds a leading position in the global sunflower oil market, is now attempting to expand its presence into other categories of vegetable oils as well, leveraging its vast agricultural lands and new processing investments. What is impressive is that this new Russian export success stems not from traditional energy resources, but from agriculture and industrial processing.
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