Azerbaijani bread from Kazakh grain

The Azerbaijani government takes urgent measures to prevent the rise in bread prices in the country. The Deputy Agriculture Minister of Azerbaijan Aslan Aslanov said that the Ministry provided additional authorization to import 250,000 tons of grain. "We have sufficient grain reserves, so I can say surely that there will be no problems with the grain, despite the reduction in crop yields," said Aslanov.

This year Azerbaijan increases the volume of grain imports due to the disaster in the Aran (central) parts of the country where the crop area were flooded, so the grain need in the country is expected to be covered due to grain imports. Presumably, the harvest in the country will not exceed 2.1 million tons, including about 1.3 million tons of wheat, while the need totals 3 million tons.

Monthly Azerbaijan imports 87,000 tons of grain, part of which is provided by Kazakhstan. About 520,000 tons of grain have been imported to Azerbaiajn since early 2010, 15 percent - from Russia, and the remaining volumes fall on Kazakh grain.

The Azerbaijani Ministry of Agriculture submitted a proposal to abolish the value-added tax on imports of grain products to the government, the Ministry of Agriculture department for production and processing of plant products head Sabir Veliyev said. "The country's needs in wheat hit 1.5 million tons. We plan to cover additional volumes at the expense of grain import, particularly from Kazakhstan", Veliyev said.

According to the press service of the Agriculture Ministry of Kazakhstan, in the first half year, volume of Kazakh grain supplied to Azerbaijan totaled 547,800 tons, almost twice more than the amount for the whole last year (256,600 tons).

The Kazakh side explains the causes of doubling supplies of Kazakh grain to Azerbaijan through the fact that Azerbaijan prefers to Kazakh grain due to its high quality. Since autumn last year, the Government of Azerbaijan has decided to fill the state grain fund only with high quality grain. According to the results of inspections, only Kazakh grain meet these requirements.

The grain company of Kazakhstan "Food Contract Corporation" believes that the deliveries of Kazakh grain to Azerbaijan could be even more if there would not be customs duty on imported grain in amount of $100 imposed by Azerbaijan. As know, since the beginning of 2010 Azerbaijan has introduced VAT on imports of grain: one ton of grain amounting to $480 is taxed at 18 percent, that is $86.4 per ton of imported grain.

Situation regarding grain in Kazakhstan

According to the Kazakh Agriculture Ministry, Kazakhstan expects grain harvest at 13.5 million tons and even it is the pessimistic forecast, when the harvesting of grain will take place under very unfavorable weather conditions. Grain harvest is forecasted at about 15 million tons under favorable weather conditions during the flowering and forming period. Such a harvest within 14-15 million tons of grain will be completely meet Kazakhstan's domestic needs. Export potential is eight million tons. 

According to the Ministry, today in the light of winter and spring grain sowing area was 16.7 million hectares. Harvesting is carried out in Almaty, Aktobe, Zhambyl, West Kazakhstan, Kyzylorda and South Kazakhstan regions. As of Aug. 2 450,000 hectares have been harvested. During the reported period the average crop yield for Kazakhstan in net weight amounted to 9.4 tons per hectare.

As of July in the whole country 13.9 million hectares or 83.1 per cent of grain crops were in good and satisfactory condition. Due to drought and hot weather in Kazakhstan only a part of the grain crop in West Kazakhstan and Aktobe regions has suffered.

Republics of Central Asia and South Caucasus will be key markets for Kazakh grain this year. Due to the ban on the export of the Russian wheat Kazakhstan can increase its grain supply to the South Caucasus from 800,000 to two million tons. Thus, in 2010 Kazakhstan will wage wide-scale "attack" on the grain markets of neighboring countries. Traditionally, the annual amount of supplies from Kazakhstan in the direction to Baku was about 800,000 tons for Azerbaijan and Georgia. And this year Azerbaijan's needs in grain are 1.2-1.3 million tons, Georgia's needs - about 800,000 tons. Kazakhstan can easily cover these amounts if supplies from Russia and Ukraine are restricted. The Kazakh side believes that if Kazakhstan doesn't take advantage of this situation, then South Caucasus republics will look for other suppliers. Kazakhstan's grain exports to the Central Asian republics in the current marketing year will be around two million tons.

Kazakhstan also entered the world grain markets. Thus, Kazakhstan supplied 591,000 tons of its grain to Iran over six months. In 2009, the total amount of supplies was 988,000 tons. The Kazakh grain leads on the amount of supplies to the Egyptian market.

As is known, Kazakhstan managed to persuade the Azerbaijani Government to agree to build a grain terminal in the Hovsany settlement five years ago. Now Kazakhstan is in talks with potential partners from China to establish joint venture to build a grain terminal at the Dostyk-Alashankou border-crossing point.

                                                  Prices for bread and grain

In connection with recent increase in prices for grain on the world markets the State Service for Antimonopoly Policy and Consumer Protection under the Azerbaijani Ministry of Economic Development held daily monitoring of bread and grain prices. The main purpose of monitoring is to prevent possible artificial increase in prices for cereals in the country. As a result of monitoring changes in bread prices were not observed.

Although these measures didn't reveal any cases of increase in wholesale prices at the flour producing enterprises, in some retail markets an increase worth two manats was observed in the cost of a 50 kg bag of flour of superior quality.

In connection with this fact the State Service started monitoring of the cost of flour in the markets. In the case of revealing the facts of artificial price increases actions will be taken in accordance with the legislation towards the business entities committing such violations.

Over recent period, the price for flour increased 25-40 percent on average in Kazakhstan. Manufacturers of bakery products account it for a rise in price of wheat due to drought.

Azerbaijan's construction sector output to grow till 2026 - expert
Azerbaijan's construction sector output to grow till 2026 - expert
Construction of Chabahar-Zahedan railway line developing – İran's minister
Construction of Chabahar-Zahedan railway line developing – İran's minister
Uzbek industrial, construction bank eyes opening credit line for new projects
Uzbek industrial, construction bank eyes opening credit line for new projects
Loading Bars
Yerevan ready to exert all efforts to fulfill trilateral agreements on Karabakh - acting PM of Armenia
Lebanon could gradually go dark as cash for electricity runs out
New greenhouse to be built in Turkmenistan’s Mary region
Several digitalization projects implemented in Kazakh oil & gas sector
Kazakhstan's president decides to provide humanitarian aid to Kyrgyzstan
Real estate purchases soar in Kazakhstan
Saudi Arabia eyes importing finished meat products from Uzbekistan
Azerbaijan's non-oil exports show positive trend despite impact of COVID-19 - minister
Kazakh Kazgeology eyes working on promising areas of natural resources
Main part of Iran's trade carried out by sea - analyst
Israel and Korea to sign free trade agreement next week
EU continues to support Georgia SMEs
Azerbaijan launches system for predicting impact of tax benefits on state revenues
Azerbaijan's AzFina, CBA developing bill on regulation of payment systems
Georgia's minister claims inflation in country to decrease in coming months
Kazakhstan reports increase in oil, natural gas prices
Azerbaijan may change procedure for navigation on inland waters for fishing vessels
Azerbaijan shares data on number of vaccinated citizens for May 6
Construction of Ahmadbayli-Fuzuli-Shusha highway in Azerbaijan continues (VIDEO)
Azerbaijan confirms 844 more COVID-19 cases, 2,057 recoveries
Uzbek-Korean JV to buy power cables via tender
Kazakh-Georgian Economic Union to focus on int'l trade and dev't of transport services - Honorary Consul
First section of Georgian Rikoti Highway to open soon
Kazakh IT company involved in creation of "smart" settlements in Azerbaijan
Japanese TEPSCO to join creating green energy zone in Azerbaijan's liberated territories
Azerbaijan's Mine Action Agency eyes to purchase new mine clearance equipment
Georgia to host annual meeting of ADB board of governors
Uzbek-Korean JV opens tender for construction of security facility for gas treatment
Turkmen Ministry of Construction extends tender for design of buildings
Spain tourist arrivals slump 76% in March, recovery still far off
Azerbaijan's construction sector output to grow till 2026 - expert
Trade ministry discloses volume of cereals imported by Austria from Turkey
Share of mining sector in Baku's industrial production disclosed
Amazing opportunities created for athletes in Baku’s National Gymnastics Arena - Ukrainian Gymnastics Federation
Turkmengas opens tender for purchase of chemicals
Kazakhstan's National Bank unveils preliminary balance of payments data
Statistics on trade turnover between Spain, Turkmenistan revealed
Uzbekistan receives permission to export pomegranates to China
Moderna raises 2021 sales forecast for COVID-19 vaccine to $19.2 billion
Not calling released soldiers as "POWs" by OSCE Minsk Group - outrageous - Armenian media
Tesla developing platform to allow car owners in China data access
Bahar Azadi gold coin price rebounds in Iran
Over 10 mln COVID-19 vaccine doses administered in Saudi Arabia
Russia reports over 7,600 COVID-19 cases in the past day
Revanchist statements in Armenia mustn't be taken seriously - Azerbaijani Security Council
Precious metal prices in Azerbaijan fluctuate
No reason to worry about fulfillment of trilateral statement - Azerbaijan's Security Council
Nominations for gas flows at TAP’s interconnections
Azerbaijan to build road to legendary "Isa Spring" in Shusha city
EU countries agree to open up to Israeli tourists
Turkmenistan names data on deposits in credit institutions
Iran unveils volume of transit through Gilan Province
Largest share of Uzbek textile production falls on Fergana region
Turkey boosts export of cars to Kazakhstan
Turkey publishes data on 4M2021 steel exports
Iran's Amir-Kabir Petrochemical Company beats sets new production record
Turkey's 4M2021 exports of locally-made furniture up in value
Turkey reveals 4M2021 data on export of grains, legumes to Azerbaijan
Exports through Iran's Astara border checkpoint increase
Uzbekistan to launch several TPPs in 2021
Uzbek agency reveals data on most profitable companies
ADB approves loan for construction of Georgia’s Olympic swimming pool
Georgia in talks with Johnson & Johnson and Novavax to receive vaccines
Georgian ISET-PI shares pricing on residential real estate in Tbilisi
Georgian Pension Agency shares data on pension fund's assets
Uzbekistan reveals number of vaccinated people
Kazakh uranium extracting company opens tender to buy spares
Kazakhstan decreases trade with Canada amid COVID-19
China increases import of Turkish-made cars
Turkey reveals 1Q2021 data on cargo movement via local ports from Belgium
Kaspersky Lab shares data on Azerbaijani users facing cyber attacks in 2020
Several facilities in education sector put into operation in Iran
Gold production at Iran's Zarshouran mine increases
Azerbaijan to completely clear "Victory Road" to Shusha city of mines soon
Azerbaijan shares details on mine clearance in liberated territories
South Korea to contribute to developing Azerbaijan's innovation ecosystem
Iran reveals COVID-19 data for May 6
Turkey sees increase in 4M2021 cement exports
Iran releases data of exports from Arvand Free Trade Zone
Azerbaijan shows footage from Garapirimli village of Aghdam district (PHOTO/VIDEO)
Azerbaijan announces commissioning date for 'Victory Road' to liberated Shusha (PHOTO/VIDEO)
1Q2021 value of Turkish export of cars to Iran rises
Azerbaijan to continue importing COVID-19 vaccines - Health Ministry
Situation in Karabakh significantly normalized - Russian FM
People aged 30-59 suffer most from COVID-19 in Azerbaijan
Azerbaijan Health Ministry talks strengthening quarantine on holidays
Number of empty beds in Azerbaijani hospitals growing - Health Ministry
Kazakhstan boosts exports to US amid COVID-19
Azerbaijan notes positive trend in data on people recovering from COVID-19
COVID-19 vaccines used in Azerbaijan are safe, effective - Ministry of Health
Azerbaijan to start new stage of vaccination against COVID-19 - Deputy Minister
Saudi Arabia real estate market showing signs of COVID-19 recovery
Azerbaijani citizens of over 18 can start getting vaccine against COVID-19 from May 10
Wix acquires Israeli online gift card co
Iran discloses details of exports from free trade, special economic zones
EU willing to discuss COVID-19 vaccine patent waiver - EU's von der Leyen
Several more strains of coronavirus detected in Iran
Turkey's 4M2021 export of grains, legumes to Germany grows in value
Head of OSCE Center in Turkmenistan completes diplomatic mission
Georgia receives second batch of AstraZeneca COVID-19 vaccine
All news