Kazakhstan purchases 350,000 tons of wheat for its state reserve

Business Materials 28 November 2019 18:11 (UTC +04:00)

BAKU, Azerbaijan, Nov.28

By Nargiz Sadikhova – Trend:

Kazakhstan has purchased 350,000 tons of wheat for its state reserve, Trend reports with reference to Kazakh media.

According to the information, Kazakhstan’s Food Contract Corporation JSC has finished forming its reserve grain fund.

“On October 28, 2019 Food Contract Corporation JSC has once again changed purchase wheat prices to accelerate purchase of grain to the reserve fund,” the report said.

Thus, the difference between old and new price amounted to 18,000 tenge ($46) per tons depending on the quality of the purchased goods.

Higher price allowed Kazakh farmers, which dealt with unfavorable weather conditions during harvest, to sell their goods at a better price. This in turn brought them closer to the planned level of profitability,” the report said.

Overall, Food Contract Corporation JSC purchased nearly 350,000 tons of wheat of 3, 4 classes from the harvest of 2019.

“Formed reserve will, if necessary, allow to stabilize and maintain affordable prices on flour and bakery products at the domestic market in 2020,” the report said.


Follow the author on twitter: @nargiz_sadikh