Food security and agricultural sector collaboration is a top priority for BRICS nations, says Lev Mazaraki, Chairman of the Board at Stilobat Group. In an interview with BRICS Business Magazine, he shared his outlook on the sector’s growth prospects and pointed to the areas with the greatest investment appeal.
How do experts today assess the economic resilience of Russia and other BRICS countries amid the global market instability?
BRICS countries’ economies are quite resilient. Factors exerting a positive influence include: the member countries’ scale of development, deepening trade and economic cooperation, steadily increasing production and consumption, and availability of big domestic markets. For example, in Russia today we are seeing rapid growth not only in traditionally strong extractive industries but also in manufacturing and agriculture. Overall, according to Russia’s Ministry of Economic Development, intra-BRICS trade grew by 17.5% in 2024, with Russian exports to BRICS countries increasing by a quarter.
Geopolitical tensions and trade conflicts can affect the investment climate. Yet, the active economic ties between BRICS countries and the strategic focus on supporting and attracting capital into vital sectors can maintain high growth rates.
Which domestic industries currently appeal most for long-term investment?
Modern Russia is shaping a unique investment climate, encouraging both domestic and foreign capital flows into key economic sectors. Traditionally, high-liquidity sectors for investment include finance, IT, the fuel, and commodities complex. The future demands support for investment in energy efficiency technologies and eco-friendly transport.
In recent years, there has been a clear investment trend toward technologies related to artificial intelligence and cybersecurity. Businesses based on digitalization have great potential today.
There are also other sectors now profitable for medium- and long-term investment. Chief among them are the agro-industrial complex (AIC) and core industrial sectors such as mechanical engineering, chemical production, and transport infrastructure. Their appeal lies not only in export potential but also in strong government support through subsidies, tax benefits, and targeted development programmes.
In your opinion, which BRICS cooperation areas are currently the most promising for Russia?
There are quite a few but I would highlight three key areas. First and foremost come trade and investment, as strengthening cooperation with BRICS countries boosts the competitiveness of the Russian economy.
Another important area is energy cooperation, which includes energy security, joint projects in traditional and renewable energy, and environmental concerns. Finally, agricultural and food security cooperation is also extremely important.
Russia is a country playing a key role in global food security. What, in your opinion, can be developed further in this area?
Amid market shifts caused by external factors, Russia is strengthening its position as a global food supplier. Today, Russia’s agro-industrial sector fully meets domestic demand and exports to 160 countries. Domestic scientific research and development of agrotechnologies play a significant role. Investment in agriculture and related infrastructure are also an important factor. Major agricultural holdings are already discussing increasing sown areas to supply food to other nations. This will ultimately boost global food availability, positively affecting the global food market.
In addition, within BRICS, with Russia’s active involvement, the idea is being discussed of creating a unified agricultural pool, a kind of coordination mechanism to facilitate information exchange on food requirements, production and reserves, and to align approaches to agricultural trade. This would help advance common BRICS food security interests.
Agriculture is a key industry in our country. Russia is a leader in many areas of food production. In which direction will the agro-industrial complex develop further in the near future?
Currently, amid the geopolitical instability, the importance of food security has increased significantly, making investment in technologies aimed at, for example, livestock development, yield improvement, agricultural product processing and logistics once again strategically justified.
Russia is demonstrating a forward-looking economic policy by actively supporting the agro-industrial complex as a strategic industry. In 2025, RUB 560 billion of the state budget will be allocated to support agricultural producers. All this makes the Russian agricultural sector appealing to investors, including those from BRICS countries.
Which global trends in agricultural policy do you think are most relevant for Russia in the coming years?
These trends can be divided into two main categories: environmental and political.
Environmentally, the major concern is climate change. Agriculture must adapt by developing more climate-resilient crops, promoting sustainable farming practices, combatting soil erosion, and managing water resources effectively, as freshwater scarcity is becoming a critical issue in many regions. Russia has initiated creation of a BRICS Contact Group on Climate Change and Sustainable Development, underscoring the importance of environmental efforts.
On the political side, a key trend is restructuring of trade relations. The experience of the past decade demonstrates the significant impact of geopolitics on trade. The Russian government supports export development through programmes that subsidize transport costs and simplify product certification. A significant step in diversifying export markets for Russian producers has been gaining access to markets in China, Saudi Arabia, and Turkey. Driven by the Agro-Export federal project, Russia’s agro-food exports have expanded 2.7 times over the decade, reaching close to USD 25 billion by 2019.
A particularly important direction is the policy of increasing domestic essential foodstuff production and building strategic food reserves. All of this will require Russia to pursue a flexible and adaptive agricultural policy.
Ultimately, state support for the agro-industrial complex is a strategic investment in the country’s food sovereignty and export potential. Subsidies and preferential loans encourage production modernization and adoption of innovative technologies, which is especially important in the context of the fierce competition on both the domestic and international markets.
What does agriculture mean to you personally?
Today, agriculture is a promising investment sector, with the greatest interest in meat livestock farming. Currently, there is a trend toward reducing imports and meeting domestic demand in full. In the future, exports to Asia and the Middle East are expected to rise. So this is a very promising business direction.
