Emblem
Official Source of the
Prime Minister of the
Republic of Kazakhstan
Menu
Emblem
Close button

Food Corporation’s grain output is sufficient to ensure stability of social bread prices in Kazakh market

Monday, 14 October 2019, 15:05:17

At a press conference in the Government, Minister of Agriculture Saparkhan Omarov spoke about measures taken to ensure bread price stability.

According to the Minister of Agriculture, the area of ​​grain crops in the country is 15.2 million hectares, of which 15.1 million hectares have been harvested, which is 99.2%. 19.1 million tons were harvested with an average yield of 12.6 c / ha.

“The harvesting has been completed by 99.2% to date. The remaining 0.8% are small farms that are completing work. There are questions on yield, amount, quality of new grain. This year, in bunker weight, we plan on 19.1 million tons of grain with a yield of 12.6 centners per hectare. According to our preliminary calculations of grain, we will have 11.5-12 million tons of wheat, excluding last year's carry-over, so we will have about 14 million tons of grain for distribution. This is enough for us to meet the domestic demand of 6 million tons,” Omarov informed.

The minister also noted that a slight increase in bread prices is expected, but the Food Corporation has enough grain to prevent a sharp jump in pricing.

“In order to prevent a sharp increase in the price of bread, we are now engaged in the purchase of grain in the stabilization fund. In addition, each regional akimat also buys grain and flour. Every year, from February to July, Food Corporation sells from 150 to 250 thousand tons of grain to stabilize prices on the domestic market. This year we sold 150 thousand tons of grain to the domestic market in order to prevent a sharp increase in bread prices,” Omarov said.

According to him, the formation of the price of bread depends not only on wheat, there are other additional costs. This is energy consumption, wages, fuel, etc.

“It all depends on the market situation. To date, only 2.9 million tons of grain have been delivered to elevators. By the end of November, all the grain will be at the elevators, then we will understand what the price will be. The price of bread depends not only on wheat, wheat in the formation of the price of bread is around 54%. The rest is subject to other additional costs. We will work to ensure that there is no sharp jump in bread. Now the price of bread is around 75-78 tenge, depending on the region. I assume that there will be a slight increase,” Omarov assured.

In turn, the Vice Minister of Agriculture Rustem Kurmanov emphasized that today in the stabilization fund of the Food Corporation there are 350 thousand tons of grain, plus another 70 thousand tons that are contracted — this is about 400-420 thousand tons of grain. This volume is enough to stabilize prices in the domestic market.

“The range of products of bakeries has various types of bread. Our field of activity will be social bread. Akimats have tools — these are stabilization funds in which they can buy flour and supply to bakeries for baking social bread. Moreover, akimats move in two directions: someone purchases flour, stores and sells to bakeries, while someone, on the contrary, provided cheap loans for social bread,” Kurmanov added.

According to Managing Director of NC Food Corporation JSC Nurbek Dairbekov, there are currently 187 licensed grain receiving enterprises with a total storage capacity of about 12.2 million tons, which, on the basis of a license issued by akimats, provide storage services with grain production receipts.

In addition, agricultural producers has storage capacities of 14.9 million tons of grain. Thus, the total volume of available grain storage tanks is 27.1 million tons, which is enough to store grain, taking into account the projected yield.

“Today, the Food Corporation is monitoring bread prices throughout the republic. We look at what quality wheat was harvested, how much was harvested. Based on these figures, we develop our own actions. Based on the harvesting results, we will make a full assessment and come up with new offers to the market in order to form stabilization funds of the food corporation so that in the autumn-spring period in 2020 we have tools to stabilize prices on the domestic market and if there is a need to reduce them,” said Dairbekov.

However, today the export potential in wheat is about 6 million tons, in barley — about 2 million tons and other grains — about 300 thousand tons. Thus, a total of 8.3-8.5 million tons of grain exports from the 2019 crop are forecasted.


News feed
04 June 2020, 22:27
Distance learning, online enrollment in first grade, creation of schools network named after Abay — how Kazakhstanis remembered another academic year
04 June 2020, 17:21
Prime Minister Askar Mamin holds meeting of State Commission on Restoring Economic Growth
04 June 2020, 13:00
Askar Mamin: Attracting investment is one of key drivers of economic growth recovery
04 June 2020, 10:15
Akimats of several regions instructed to strengthen control over compliance with sanitary and epidemiological requirements
04 June 2020, 08:55
Serik Shapkenov appointed vice minister of labor and social protection of the population of the Republic of Kazakhstan
04 June 2020, 08:41
Roman Sklyar arrives in Akmola region for a working trip
04 June 2020, 02:02
Results of agro-industrial complex for 4 months of 2020: Creating new capacities, increasing crops area and introducing digitalization
04 June 2020, 01:29
New enterprises, road construction, housing — development of industrial sector of Kazakhstan
03 June 2020, 16:24
Akmadi Sarbassov appointed first vice minister of labor and social protection of the population of Kazakhstan
03 June 2020, 02:14
Increased funding and local content: Low housing construction developed in Kazakhstan
02 June 2020, 11:13
Over 131 thousand students to take part in UNT in 2020 — Ministry of Education and Science
02 June 2020, 10:40
Employment measures planned to reach 1 million 220 thousand people in 2020 — Ministry of Labor
02 June 2020, 10:33
Prime Minister Askar Mamin instructs to ensure high-quality implementation of UNT in compliance with sanitary requirements
02 June 2020, 10:19
Employment is of paramount importance — Askar Mamin
01 June 2020, 18:57
Algorithms for operating tourist facilities developed in Kazakhstan
01 June 2020, 16:27
Government session to be held June 2 in Ukimet Uyi
29 May 2020, 18:15
Prime Minister Askar Mamin: It is necessary to strengthen the factor of self-sufficiency of CIS countries
29 May 2020, 15:56
Interdepartmental Commission decides to remove checkpoints and resume activities of several industries
28 May 2020, 15:12
Two hundred and thirty best specialists in 11 industries work to increase competitiveness of Kazakhstan
28 May 2020, 01:23
Oil production, gas supply and investment attraction — review of energy sector in Kazakhstan
27 May 2020, 11:36
Prime Minister of Kazakhstan Askar Mamin presented Dostyk Order to UAE Ambassador Mohammed Al-Jaber
26 May 2020, 19:52
Intergovernmental Commission considers issues of strengthening quarantine enforcement
26 May 2020, 11:43
Steady growth of 4% maintained in livestock industry — Ministry of Agriculture
26 May 2020, 11:04
In 2020, it is planned to sow crops on area of ​​22.5 million hectares — Ministry of Agriculture
26 May 2020, 10:51
Efforts in livestock development will be aimed at increasing self-sufficiency and exports — Askar Mamin
26 May 2020, 10:18
Kazakhstan has real potential to become one of world’s food hubs — Askar Mamin
25 May 2020, 22:33
Modernization of pharmaceutical industry and production of protective products: How Kazakhstani enterprises developed during emergency state
25 May 2020, 19:39
Interdepartmental Commission decides to resume several types of activities in regions
25 May 2020, 15:01
Government session to be held May 26 in Ukimet Uyi
24 May 2020, 11:00
Video Digest: Main events of the week, No. 62
24 May 2020, 08:38
Prime Minister Askar Mamin congratulated Kazakhstanis on Oraza Ait
23 May 2020, 22:19
Small and medium-sized enterprises, investment, and exports: What Almaty region focused on
23 May 2020, 21:38
Video Digest: Results of Prime Minister Askar Mamin’s working trip to Almaty region
23 May 2020, 17:26
Prime Minister Askar Mamin gets acquainted with state of hydraulic structures and implementation of development programs in Almaty region
22 May 2020, 16:24
Prime Minister Askar Mamin inspects restoration works in Maktaaral district of Turkistan region
21 May 2020, 12:44
Capital should be an example for all regions — Askar Mamin
20 May 2020, 18:00
Roman Sklyar discusses development of bilateral cooperation in engineering with German companies
19 May 2020, 15:22
Since beginning of 2020, 118 thousand people employed under Enbek program — Birzhan Nurymbetov
19 May 2020, 14:08
Ruslan Dalenov: Main goal of implementing Integrated Plan — to ensure employment of people
19 May 2020, 13:53
Each year, state will purchase 365 thousand tons of agricultural products
19 May 2020, 12:36
Who can purchase housing under new program 5-10-20
19 May 2020, 11:49
Integrated plan to help restore economic activity by the end of 2020 — Ruslan Dalenov
19 May 2020, 10:02
Government adopts Integrated Plan for Recovering Economic Growth
19 May 2020, 09:01
Prime Minister Askar Mamin introduces new minister of finance
19 May 2020, 08:25
Roman Sklyar inspects progress of restoration work in Turkistan region
18 May 2020, 21:03
Total supply of socially significant food products in Kazakhstan is 720 thousand tons
18 May 2020, 17:44
Interdepartmental Commission considers epidemiological situation in the country
18 May 2020, 17:03
Government session to be held May 19 in Ukimet Uyi
17 May 2020, 21:09
Fighting against unemployment and improving adjacent villages — how East Kazakhstan region developing today
17 May 2020, 09:39
Video Digest: Main events of the week, No. 61
© 2019 - 2020 Press service of the Prime Minister of the Republic of Kazakhstan.
Developed by SoftDeCo.