The government has taken all measures to prevent grain price lowering
Agrarian Fund and State Food-Grain Corporation buy domestic grain. Due to their actions, it is possible to maintain profitable grain prices for farmers. In particular, Agrarian Fund has bought more than 1 million tons of grain lending 1 billion UAH to farmers before the harvest. This was announced by Deputy Minister of Agrarian Policy and Food of Ivan Bisyuk.
«Ministry of Agriculture predicted the current situation at the grain market. Therefore, Agrarian Fund and State Food-Grain Corporation take actions to protect domestic producers from sharp price decline. Thus, the Agrarian Fund has purchased over 1 million tonnes of 2013 wheat to the state intervention fund. Therefore, it removed the extra grain volumes from the domestic market before the harvest period,» said Ivan Bisyuk.
First Deputy Minister added that PJSC «State Food-Grain Corporation» is also actively working. The institution is purchasing corn under forward contracts, and early grain under spotted contracts at competitive market prices.
«Thus, due to the activities of these two public operators it is possible to prevent large fluctuations at the domestic grain market. The most important point is that Agrarian Fund and DPZKU pay farmers market price,» said Ivan Bisyuk. Deputy Minister emphasized that to secure a stable situation at the grain market Ministry of Agrarian Policy and Food of Ukraine deepened cooperation with market participants, has signed a Memorandum of Understanding, is working out measures to optimize logistics.