The purchase price for grain has been set at an acceptable level, First vice Prime Minister, Finance Minister Mykola Azarov believes, “Cabinet’s press office” reported.

"We have set a very good purchase price for grain. Those grain traders who wanted to buy grain for a song criticize us very seriously. But the price, which we have established, is a normal market price, which covers all expenditures to a producer and creates efficiency while selling grain," Azarov said.

According to him, the State cannot afford to buy grain at voluntary prices, as it spends much funds to support village.

As of October 1, 2006, grain reserves at agricultural enterprises and processing and storage enterprises amounted to 13.5 M. tons, which was 23 percent less, comparing to the similar date of 2005.

In October 2006 the Ministry of Agrarian Policy increased minimal and maximal purchase price in the 2006/2007 marketing year for 4th class wheat up to 650 and 720 UAH per ton (VAT included) respectively. Earlier the price stood at 610 and 680 UAH per ton (one USD=5.05 UAH).


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