Russia buys 110,700 tonnes of intervention grain
A total of 110,700 tonnes of grain has been bought by the Russian government at the latest tender aimed at stabilising prices.
The United Grain Company, the state grain trader, plans to buy a total of 2.5 million tonnes of grain at the current set of tenders and to stop purchases by December 25.
Among the purchases, 808,110 tonnes of third-grade wheat were bought at RUB3,150-RUB5,500 per tonne, while 168,480 tonnes of fourth-grade wheat were bought at RUB2,350-RUB4,800 per tonne.
About 43,200 tonnes of milling rye were also bought at RUB1,700-RUB2,300 per tonne.
Russia expects to harvest 93 million tonnes of grain this year, down from 108 million tonnes last year. The government has allocated RUB9.5 billion for intervention purchases instead of a previously announced RUB20 billion, and it has so far spent RUB2.9 billion.
It has set top purchase prices for benchmark third-grade milling wheat to be delivered to silos in the Central, North-Eastern, Southern and Volga Federal districts at RUB5,500 per tonne.
Third-grade wheat for delivery to the Urals, Siberian and Far Eastern Federal Districts, as well as Orenburg region on the Volga, were priced at RUB6,000 per tonne.
Lower price fourth-grade wheat was priced at RUB4,800-RUB4,900 depending on the district and milling rye was priced at RUB3,900 per tonne regardless of the destination.
US$1 = RUB29.155 (Dec 4)
