Food Corporation to buy 5 million tons of new harvest grain

31 августа 2011, 18:39
©RIA Novosti
©RIA Novosti
Food Corporation National Company will buy 5 million tons of grain of the new harvest, reports citing Chairman of Food Corporation National Company Beibitkhan Kabdrakhmanov as saying at the press-conference in Astana on August 26.

“Wheat will be mainly purchased from small and medium-sized producers who don’t have access to international markets,” Kabdrakhmanov said. According to the Chairman, only 3rd class grain will be bought at the price of 25 thousand tenge ($170) per ton.

“Inter-authority commissions will be created in regions to provide transparency of purchase conditions. They will include representatives of state authorities, public and party organizations. In case of any disputes or incorrect activities of employees of the Food Corporation or city administrations, it is necessary to call the hot line number +7(7172)591384 in Astana,” Beibitkhan Kabdrakhmanov said.

As per the forecasts of Kazakhstan Agriculture Ministry, estimated harvest of 2011 is going to make 19 million tons (plus last year’s vested remainder of 3 million tons). Kazakhstan’s internal grain requirement is 8 million tons. Export is estimated at 6-6.5 million tons and this volume is usually sold to Central Asian and Pre-Caspian countries. Thus, surplus of new harvest grain will make 8 million tons. Grain export is becoming a problem because of the bumper harvest in the neighboring countries.

“The decision was made to subsidize export, i.e. the costs will be partially reimbursed to sellers exporting grain through the territory of Russia and China,” the Chairman explained. According to Kabdrakhmanov, subsidies will make 6 thousand tenge ($41) per ton.

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