The Ministry for Development of Economy, Trade and Agriculture of Ukraine does not plan to impose any administrative regulations against grain exporters until the end of the current season, declared the President of the Ukrainian Grain Association, Mykola Gorbachov, within frames of the online-conference Grain&Maritime Days Online, on May 28.
Eight years ago, for the first time grain traders signed the Memorandum of Understanding with the government concerning the maximum export volumes of grains for the season. Traders undertook the specific obligations that they will not export more volumes than the document specified. Of course, such self-imposed limitation is not the most effective way to carry on the trade, but at the current stage it is much better than to impose any quotas, where only special companies will be able to export under various unclear schemes, perhaps even corrupt one, M.Gorbachov said.
According to the speaker, every week business and government representatives provide meeting and discuss the current situation in the market segment, as well as traders report about their export plans. Although, wheat exports already reached the figures specified in the Memorandum (20.2 mln tonnes), in the current year Ukraine will continue realizing the grain shipments. According to the UGA forecast, the figures will total nearly 20.5 mln tonnes.
Due to the fact that Ukraine has good weather conditions, the domestic consumption of wheat totals nearly 8 mln tonnes, including 4 mln tonnes for bread production, so there is no problem with possible deficit of the grain. Therefore, the Ministry for Development of Economy will continue issueing the required certificates for the exports, M.Gorbachov explained.
