UPDATE 1-Kiev to look next week at grain export curbs -PM

Published 09/28/2010, 07:25 AM
Updated 09/28/2010, 07:28 AM

* Ukraine grain crop may fall to 38 million tonnes in 2010

* Customs service delays grain exports from Ukraine

(Adds background)

KIEV, Sept 28 (Reuters) - The Ukrainian government will next week consider whether or not to introduce any restrictions on grain exports, Prime Minister Mykola Azarov said on Tuesday.

"Next week the government will make a decision on measures to regulate exports if that is necessary or (to allow) free exports," Azarov told journalists on the fringes of a conference.

Ukraine's 2010 grain crop is likely to fall to about 38 million tonnes from 46 million in 2009 after a severe drought hit grain producing areas. The former Soviet republic consumes about 26 million tonnes of grain per season.

Earlier this month the government cut its forecast for the 2010/11 season's grain exports to 12.7 million tonnes from the previous outlook of 13.8 million tonnes due to a fall in maize output.

Ukraine, which forecast grain exports at 20 million-24 million tonnes in early summer, cut the outlook to 20 million in June and to 15-16 million in July. Ukraine exported 21.5 million tonnes of grain in 2009/10.

After Russia, another leading grain producer in the Black Sea region, introduced a grain export ban in August, the Ukrainian government proposed imposing grain export quotas, though it then said that a final decision would be made only in October.

In early September Azarov said Ukraine would not introduce any limits on grain exports because the country had enough grain to cover domestic needs and export demands.

But traders have said they are unable to ship grain abroad as the customs service is implementing de facto curbs on exports by holding up shipments in Black Sea and Azov Sea ports.

Ukraine exported 2.09 million tonnes of grain in the first two months of the 2010/11 season compared to 3.97 million in the same period in 2008/09. (Reporting by Olzhas Auyezov; Writing by Pavel Polityuk; editing by Anthony Barker)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2025 - Fusion Media Limited. All Rights Reserved.