Ukraine May Raise Grain Export Duties to Cap Domestic Prices

Ukraine's government may raise export duties on grain that take effect from July 1 should domestic prices jump, researcher UkrAgroConsult said.

The duty is set at 9 percent for wheat, 12 percent for corn and 14 percent for barley.

The former Soviet state may ship as much as 20 million metric tons of grain in the marketing year that starts July 1 if the duty rates remain as announced, the Kiev-based researcher said today in an e-mailed report. Ukraine, once the world's largest barley exporter, limited cereals shipments this marketing year by imposing quotas to cap domestic prices.
The country's Agriculture Ministry also wants to introduce an export tax for rapeseed, UkrAgroConsult said.

Ukraine may increase areas planted with sunflower-seed to 5.1 million hectares (12.6 million acres) this year, the researcher said. Ukraine may export 1.5 million tons of grain this month, the highest monthly volume for this season, according to the statement.