January 27, 2012

Food Contract Corp plans on market stabilisation

Kazakhstan's national company, Food Contract Corp., will purchase eight million tonnes of grain to stabilise market and to prevent local grain price drop, said the company's head, Beybithan Kabdrakhmanov.

Earlier, Food Contract Corp planned to purchase five million tones but this amount is presently considered as not enough to stabilise the market. Kazakhstan collected record 26 million tonnes of grain in net weight this year.

Domestic consumption is estimated at eight million tonnes tonnes and 15 million tonnes are planned to be exported. However, lack of rail wagon hampers exports and thus the country need to stabilise the market by grain purchase. Kazakhstan grain carriers park is 5,200, half of needed amount.