Ukraine: Ukraine may face threat of introduction of State monopoly for grain export
During the next marketing year, Ukrainian Government may introduce certain changes to the process of grains export from country, AgriMarket.Info communicated on December 22.
According to the newspaper "DELO", the Government's plans include also the passing of the whole export volume of this production only through GAK "Khleb Ukrainy".
At that, according to the newspaper's information, the Government has already talks with separate grains traders on this question.
One of the traders declared that the Government would like to have only GAK and thus offer to the other traders to give the vessels for loading and shipment on FOB terms. Commenting on this situation, President of Ukrainian Agrarian Confederation Leonid Kozachenko marked that realization of such plans would lead to the monopolization of Ukrainian grains market. According to him, transnational companies would change their minds for other markets, and national companies would take back their stock out of grains business. Kozachenko declared that "Khleb Ukrainy" is in dept of more than USD 2.5 billion to the State and grains traders, and in case of sales by GAK on FOB terms it would consider prepayment but there are few chances that traders would like to risk their money.
At the same time, Director on Development of GAK "Khleb Ukrainy" Aleksandr Skrypnik supposes that traders' fears about the monopolization of grains market are "hyperbolic".
According to him, they just would like to search for the mutual understanding and to joint their efforts for getting profit. He added that today the company is busy with internal reformation but not with export.
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