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Kazakhstan considering increasing wheat, flour export quotas

Business Materials 8 April 2020 17:52 (UTC +04:00)
Kazakhstan considering increasing wheat, flour export quotas

BAKU, Azerbaijan, Apr.8

By Nargiz Sadikhova - Trend:

Kazakhstan is considering increasing quotas for export of wheat and flour in May 2020, Kazakhstan’s First Vice Minister of Agriculture Aidarbek Saparov said, Trend reports with reference to Kazakh media.

Saparov said that export potential of Kazakhstan’s grain is approximately 6 million tons, however its too early to make forecasts on grain productivity.

“First, spring field work must be carried out in time, crops must be harvested. In general, all conditions have been created for good harvest and, I think, the harvest level will correspond to that of last year,” Saparov said.

He added that the export volume strongly depends on volume of crops harvested.

He reminded that the quotas from wheat and flour export in Apr. 2020 amounted to 200,000 tons and 70,000 respectively.

“We will consider export results of April. In May we are considering to increase the export quota. Country's domestic wheat demand is four to five million tons of grain,” he said.

He added that some two million tons of wheat supplied to the local market are used for flour production which then is also exported.

On Apr. 3, 2020 Kazakhstan’s Ministry of Agriculture announced the volume of wheat and flour permitted for export in April 2020.

The ministry said that 200,000 tons of wheat and 70,000 tons of flour can be exported from the country this month.

At the same time, traders must supply 30 percent of the exported volume to the local market by set prices. A ton of 3 and 4 class wheat for the local market must be sold for 84,000-86,000 tenge ($187-196).

In turn, flour must be sold for 120,000 tenge ($268) per ton in Akmola, North Kazakhstan, Kostanay, Pavlodar, East Kazakhstan, Karaganda regions and Nur-Sultan cities, and for 130,000 tenge ($290) in other Kazakh regions and cities of republican importance.

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