ANNOUNCEMENT 31 Mar 2015
In March 2015, the Russian agriculture ministry set minimum state purchase prices for grains.
NUMBER OF INTERVENTIONS
Ministry of Agriculture of Russia. Order N119 dated 31-03-2015, Об определении предельных уровней минимальных цен на зерно урожая 2015 года при проведении государственных закупочных интервенций в 2015-2016 годах (On the determination of the limit levels of the minimum prices for grain in the crop of 2015 during government procurement interventions in 2015-2016), http://www.garant.ru/products/ipo/prime/doc/70903752/
On 31 March 2015, the Russian agriculture ministry set the minimum purchase prices for grains, valid between July 2015 and July 2016. When market prices fell below the minimum prices, the government undertakes an obligation to centrally procure listed goods.
The Russian federal law "On Development of Agriculture (№264, 2006) allows price interventions with regard to wheat, barley, rye, corn and other products listed by the Government. To trigger such interventions, the Russian agriculture ministry has to publish and order and monitor prices.
The VAT-inclusive per-tonne prices, depending on the federal district, are set as follows:
The 2015 prices are significantly higher than the previous years' price changes. The present changes are all in the magnitude of over a thousand rubles, while previous price changes were in a couple of hundreds of rubles.
The Order of the ministry was in force between 1 July 2015 and 30 June 2016, but on 5 October 2015, the ministry updated the prices (the order was published on 14 October 2015, see related act GTA ID 38188 - Russian Federation: Agriculture Ministry Updates Minimal Purchase Prices for Grains (2015-16)). The update concerned all products, except corn.