On February 9, 2011, the Cabinet of Ministers of Ukraine (according to Resolution 168) authorised the regional government bodies specified in the Resolution to set and regulate buckwheat (HS 1008 10 00 00) prices.
This state measure should be analysed in connection with two main facts:
(1) Ukraine is an exporter of grains and cereals with established positions on world markets.
(2) There is a marked tendency towards an increased state control over grain trade in 2013 via the State Food and Grain Corporation (SFGC), an executive state body whichpurchases grain from agricultural producers. The Ukrainian government has arranged SFGC to receive from the Export-Import bank of China financing at the amount of USD 4 billion. The Ukrainian Agricultural Policy and Food Minister, Mr Mykola Prysyazhnyuk, clarified on February 6, 2013 that the financing will be utilised for forward purchases of 4 million tons of grain, the whole quantity of which will be exported. As a key export market the minister has mentioned China. He also added that if this state initiative becomes fully operational, the state body SFGC will become the largest exporter of this type of agricultural commodities from Ukraine.
The GTA includes state guarantees and other financial incentives that are likely to affect the restructuring and performance of firms facing international competition, whether from imports, in export markets, and from foreign subsidiaries.