News
06.07.2011
Russia: JSC United Grain Company completed trade interventions on the grain market through exchange trading
JSC United Grain Company completed execution of the Decree of the Government of the Russian Federation dd. January 26, 2011 “On realization of milling and feed wheat, milling rye and feed barley from the stocks of the Federal Intervention Fund of agricultural commodities, raw material and food products at exchange trade in the I and II quarters of 2011”.
According to press service of the company, the volume of exchange trading, which was attended by over 600 organizations, totaled 921.5 thsd tonnes at the sum of 6.06 bln RUR. JSC United Grain Company actually signed contracts of purchase and sale of 917.1 thsd tonnes of grains at the sum of 6.04 bln RUR.
To date, shipment of the grain volumes, paid by the winners of the exchange trades, is completed.
Regulating the grain price through the market mechanism - the exchange trading - showed its effectiveness, said Aram Ghukasyan, Deputy General Director of United Grain Company. The beginning of trading on the exchange revived the market, and the fact that only agricultural commodity producers were admitted to the trading, allowed to exclude the possible negative effects of market speculators, and created the clear target price for the domestic market.
