Ukraine forms new state entity for grain exports

The Ministry of Agrarian Policy of Ukraine has established Zerno Ukrainy, which will serve as a government entity in Ukraine's grain export business.

The company will operate in the domestic market to stabilise grain prices and sell some products on foreign markets, said Yuri Melnik, Minister of Agrarian Policy.

The new company will export one million to two million tonnes of grains, Melnik said.

Ukraine exported 7.4 million tonnes of grains from July 1 to October 12.

This represents an increase of 100,000 to 200,000 tonnes when compared to the same period in 2008. The forecast of grain exports from Ukraine remains at 17 million to 18 million tonnes.