August 25, 2008

Kazakhstan will be lifting the wheat export ban on September 1, 2008, according to Prime Minister Karim Masimov.

Masimov said the government will not impose any more bans if domestic grain supply is guaranteed. Masimov advised regional governments to prevent prices for bread and grain from rising in order to meet domestic grain demand.

Price changes are not welcomed unless it's going down, Masimov said, warning that the ban will return if domestic grain prices start fluctuating.

In mid-April, Kazakhstan banned wheat exports to ensure domestic supplies and to protect the local market from sharp price increases in the global grain markets and worldwide grain shortage.

Last year, Kazakhstan harvested a record 20.1 million tonnes of grain, up 22 percent on-year, including 16.6 million tonnes of wheat. Kazakh producers have so far exported over 8 million tonnes from the 2007 harvest out of the 10 million tonnes planned.