Ukrainian Grain Association calls on authorities to take measures to stimulate grain exports

Kyiv, November 24 (Interfax-Ukraine) - The Ukrainian Grain Association (UGA) is calling on the country's authorities to take measures as soon as possible to stimulate grain exports from Ukraine, UGA President Volodymyr Klymenko said at a press conference in the Interfax-Ukraine news agency on Monday.

"We need to export at least 10 million tonnes of grain. If we don't this, then by July 1, 2009, we will have a reserve of 17 million tonnes, and this is a catastrophe," he said.

According to Klymenko, Ukraine has exported about 10 million tonnes of grain, but further supplies could become problematic, in particular, because of the toughening of competition on the world markets. He said Ukraine's main competitor on the world grain market, Russia, was planning to speed up the procedure for reimbursing VAT while exporting grain, decrease tariffs on grain transportation and introduce export subsidies.

"If Russia introduces export subsidies, we won't sell anything," New World Grain Ukraine Ltd. Director Mykola Horbachov said at the press conference.