August 11, 2010

Ukraine leaders and traders to cooperate in stabilising grain market

The Ukrainian Agriculture Ministry, the Agrarian Fund, and international grain trading companies have agreed on concerted efforts to stabilise the situation on the country's grain market, said Deputy Director General of the Agrarian Fund Oleksandr Lavrynchuk.

"During the discussion, the parties agreed to jointly cooperate on the market, and include all of the possible actions and plans in a special memorandum," he said.

Lavrynchuk also noted that the Agrarian Fund and the Agriculture Ministry had proposed that grain traders consider the possible purchase by the Agrarian Fund of a million tonnes of grain at an average market-oriented price.

"Grain traders have pledged to reduce procurement activities for a certain period to ensure that the Agrarian Fund can enter the market efficiently and effectively," he added.

Lavrynchuk said that after the meeting, grain traders had supported the possibility of introducing quotas on grain exports in Ukraine. However, they asked the state not to hinder the removal of contracted batches of grain that has already been loaded or is to be loaded at ports.