November 26, 2010

Ukraine may export more grain to Egypt

Ukraine may significantly increase grain exports to Egypt, the world's biggest wheat importer, according to Ukraine's prime minister.

"Supplies can be much bigger than the one million tonnes of grain shipped to Egypt from Ukraine this year", Prime Minister Mykola Azarov said. The two nations will set up a group led by Ukrainian Agriculture Minister, Mykola Prysyazhnyuk, to discuss cooperation in farm products, he said.

Ukraine, the largest barley exporter in the year that ended in September, has limited outbound shipments of all grains to 2.7 million tonnes for the rest of 2010 after dry summer weather damaged crops. The country will maintain caps on grain exports in next year's first half in an effort to increase food security, Prysyazhnyuk said.

The quotas exclude two million tonnes of corn to be sent to Russia. Georgia and Armenia also have asked to buy Ukrainian grain outside the export quotas, according to the minister.