Kazakhstan to start supplying wheat to Georgian market
Baku, Azerbaijan, May 16
Kazakhstan will assist Georgia in importing Kazakh wheat to the Georgian market, said Natia Turnava, Georgian Minister of Economy and Sustainable Development, Trend reports via Sputnik Georgia.
"Nowadays, the Russian wheat is mainly dominant on the Georgian market. We have finally agreed that the Kazakh side will provide financial assistance and subsidize the transportation of wheat through its territory, which will enable us to bring Kazakh wheat in Georgia in a larger volume and at a relatively affordable price", stated Turnava.
In her opinion, it will remove the possible problems of supplying a strategic product to the Georgian market.
"Immediately after returning, I will begin meetings with grain producers and associations working in this field so that our Georgian companies, importers, which are included in this business, can use the idea agreed at the government level," said Turnava.
Earlier, at the end of April, an agreement was reached on lowering the tariffs for the transportation of Kazakh wheat and on increasing the volume of its exports to Georgia.
Kazakhstan was the main supplier of wheat to Georgia five to six years ago, when the government of Kazakhstan subsidized transport costs for the export of grain, and Georgia purchased its products at a reasonable price. Since the state stopped subsidizing and Georgia has become unprofitable to import this product from Kazakhstan.
Kazakhstan wheat costs $260. Russia is the main supplier of wheat to Georgia, since a ton of this product costs about $244, which is the most reasonable price for Georgia today.