Agriculture Ministry sees no need in interventions to buy sugar

MOSCOW, Dec 20 (PRIME) -- Russia’s sugar prices are stable and do not need additional regulation through the purchasing interventions, the Agriculture Ministry said in a statement on Tuesday.

“As to state procurements of sugar, there are no conditions for them on the internal market now. The lowest price for such interventions is set at 33,600 rubles per tonne (VAT excluded) for the product,” the authority said.

“And the current average weighted price in the Central and Volga federal districts amounts to around 48,000 rubles per tonne… The instrument has been designed to remove excess from the market to support the producers’ profitability. The authority sees the current situation as stable and requiring no additional regulation.”

Russia started grain purchase and sale interventions in 2001 to stabilize prices and support local farmers. A similar mechanism was introduced for sugar in 2022, but no interventions have been carried out so far.

The Agriculture Ministry also said that it sees no risks of provision of farmers with materials and equipment for agricultural works in 2023.

(66.3474 rubles – U.S. $1)

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