January 27, 2011

Tajikistan's wheat, flour prices continue to increase

Tajikistan's wheat and flour wholesale prices have risen again by 8% on average, due to a sudden increase in prices of imported flour and wheat from Kazakhstan, according to its state enterprise, Ghalla Wheat.

"The price of one tonne of third-grade wheat was US$354 dollars at the Sary-Aghash station (Kazakhstan) last week and the price of first-grade flour increased to US$416. These prices are 8-10% higher than wholesale prices in December," underlined the Ghalla Wheat's director, Taghoymurod Sharipov, adding that wheat and flour prices increase by another US$60-70 when they reach the Dushanbe-1 station.

According to the state unitary enterprise Ghalla Wheat, the increase in flour prices at Tajikistan's markets is because of this. The price has reached TJS120 (US$27) for one sack of flour (50 kg) in the past week, while at the beginning of January, it was TJS115 (US$26).

"It is most likely that world wheat prices will continue growing until May this year. Everything depends on this year's crop. If there is a drought in 2011, then one may expect a further increase in prices," he said.

It should be recalled that in October 2010, the price of one tonne of third-grade wheat was US$261 at the Sary-Aghash station (Kazakhstan), and the price of one tonne of first-grade flour was US$395.