Agricultural Ministry considers decrease in grain prices in Ukraine unjustified
Minister of Agricultural Policy and Food of Ukraine Mykola Prysiazhniuk considers there are no reasons for reducing domestic grain prices.
According to the ministry, to prevent "the over-saturation of the market and the artificial reduction of prices," the Agrarian Fund is currently engaged in grain purchases.
"To prevent the over-saturation of the domestic market and the artificial reduction of prices, the Agrarian Fund is actively working. This state operator helps remove grain ending stocks. It is profitable for farmers to cooperate with it as the agency pays the market price for grain," reads a statement.
In addition, according to the minister, prices are restrained from falling by active grain exports from the country. He noted that the government strongly supports grain exports.
As reported, since the receipt of the new harvest grain, a decrease in grain prices on the domestic market has been observed.
According to the Ukrainian Agrarian Confederation, as of early July the average cost of the second and third grade wheat at Ukrainian ports was UAH 1,750-1,800 per tonne, that of feed wheat – UAH 1,600 per tonne, barley – UAH 1,750 per tonne, corn (forward deliveries) – UAH 1,420-1,450 per tonne.
