Presidential decree: State order for grain production will be completely abolished

Photo: TASS
Starting from the 2020 harvest term, the government will abolish the practice of setting grain production plan.
The President signed the decree “On measures for the broad implementation of market principles for the production, purchase and sale of grain”.
The Cabinet of Ministers until May 10 of this year will determine the grain prices, which will be purchased in 2020, to implement measures to ensure the stability of grain prices, taking into account the prices in the world market and regional stock exchange, as well as the expected harvest in the country.
It was established that starting from the 2020 harvest term:
- the practice of setting the grain production plan by the state will be completely abolished;
- measures will be implemented to ensure the stability of grain prices in the domestic market. Wheat that will be purchased by the state is going to be stored in warehouses of enterprises, which meet certain requirements, on a contractual basis irrespective of the form of their ownership.
Starting from the 2021 harvest:
- the practice of setting the grain price by the state will be completely abandoned;
- public procurement will be completely abolished and grain produced by farmers and other enterprises will be freely sold to all consumers, including grain processing enterprises, grain clusters and traders through exchange trades or based on direct contracts.
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