Ukraine’s Government gives Agrarian Fund green light to sell grain from state reserves

This year, the Agrarian Fund of Ukraine has been allowed to sell grain from the 2006–2008 harvests that is in the state food reserves. This was confirmed by Cabinet Resolution Nº62, signed by Premier Yulia Tymoshenko on February 4, 2009.

According to the Resolution, the Fund will sell this grain at an average weighted price based on the last three sessions on the Agrarian Exchange and other exchanges certified by it. However, the price will not be lower than the purchase price plus the cost of storing the grain.

Brief: In 2008, the Agrarian Fund bought 1.237 mn tonnes of grain for the state food reserves for a total sum of UAH 1.42bn. Of that, 70,438 tonnes were bought under forward contracts for UAH 75.067mn, while 1.167mn t were bought under spot contracts worth UAH 1.345bn.