News
01.09.2011
Ukraine: forward purchases of grains kept the price from a collapse in the beginning of the harvesting campaign
On August 30, Nikolai Prysiazhnyuk, Minister of Agrarian Policy and Food of Ukraine, noted that forward purchases of grains allowed keeping the price of grains from a collapse in the beginning of the harvesting campaign.
According to him, the price of 1600-1700 UAH/t is normal. The Agrarian Fund received 5 bln UAH for grain purchases and contracted over 2.5 mln tonnes of grains by forward and spot purchases, thus the authorities did not allow to traders to lower the price, as they did every year in the beginning of the harvesting works, said the Minister.
N.Prysiazhnyuk noted that in the beginning of last year grain harvesting works the price was 700-800 UAH/t, but in the current year the price did not lower below 1300-1400 UAH/t.
The Minister explained reduction in the price of grains compared to the last year by the increase of grain production volumes by 30% in 2011, increasing of grain yields at the Euro-Asian territory, and the fact that in the current year the Russian Federation, which last year did not export grains, plans to export 20 mln tonnes.
