The State Commission for Economic Modernization yesterday approved the prices and volumes of wheat purchases for the Food Corporation's resources both under forward contracts and direct purchases. However, farmers believe that these measures will not be enough, given the large volumes of low-quality grain received this year due to prolonged rains during the harvest period. In particular, the Association of Agricultural Producers of the Kostanay Region asks to increase the volume of direct purchases of wheat from farmers.
“Today, the state plans to purchase only 350 thousand tons. This purchase volume is not enough, which will not allow farmers to fully fulfill their financial obligations to the Food Corporation, leasing and other credit loans. Not to mention those who do not have loan obligations, but have a desire to sell grain through the Food Corporation,” the Association said.
One of the problems also became difficulties with grain acceptance by elevators, since large volumes need to be dried. Considering the carryover stocks of last year’s grain, elevators have practically stopped accepting the new harvest, and the grain will be burned at the sites of agricultural producers.
The Association of Agricultural Producers emphasizes that in the current situation, elevators must accept grain without restrictions on quality indicators. At the same time, the release of their containers is possible by moving grain from north to south, where there is currently a shortage of feed grain.
“Agricultural producers are ready to store grain intended for the Food Corporation using their storage facilities, with the possibility of its subsequent sale, including through direct purchase by the state. In this case, farmers are ready to take on all guarantee obligations related to the quality and safety of grain,” the Association emphasized.