( Interfax ) - Kazakhstan's agriculture ministry is claiming its grain exports will reach 8 ml tons until July 2008.
"A month-to-month schedule of grain shipment shows that until June next year Kazakhstan will export above 8 ml tons of grain," Deputy Minister of Agriculture Dulat Aitzhanov said on Monday to the Cabinet.
Meanwhile, Prime Minister Karim Masimov voiced his apprehensions about a possible oversupply of grain on the domestic market.
"We have reaped nearly 22 ml tons of grain, which will result in nearly 18-18.5 ml tons in net weight. Lets' say you will strain a bit more and export 10 ml. Domestic demand is not above 3.5 ml toms. In fact, we will be witnessing an oversupply of grain on the domestic market," he said at the government meeting.
"If that happens and all grain wont' be sold out, the banks will starts demanding their loans back. We will have a reverse scenario about which I am warning you now," he said.
Aitzhanov, however, reassured the government that no oversupply of grain will occur.
"3.5 ml tons of grain its just a consumption demand. However, if we add fodder grain reserves, the domestic demand will rise up to 9 ml tons. Therefore, I see no oversupply problem here," she said.
According to the recent forecasts of the Ministry, Kazakhstan may expect the record high grain crop of 20 ml tons of grain.
As reported, in 2006 the gross yield of grain in Kazakhstan made 18.3 ml tons in gross weight, a record high for independent Kazakhstan (since 1991). At that, net weight of grain totaled 16.5 ml tons, including 13.5 ml tons of wheat. This year the grain output projections indicate 15 ml tons in net weigh.
Domestic needs of Kazakhstan with more than 15.4 ml population for grain make about 10 ml tons annually.