You're reading: Ukraine gives assurances on grain exports

Kyiv, Sept 24 (Reuters) - The Ukrainian government has given assurances that it will not restrict grain exports and it expects the issue to be settled soon, an official of the European Bank for Reconstruction and Development said on Friday.

Traders have complained that Ukraine, one of the world’s top grain exporters, was curbing wheat exports through lengthy customs checks since July in expectation of a poor harvest after a summer drought.

"I must say we very much share the concerns that grain traders have expressed. We raised this question with the government," visiting EBRD board member Vassili Lelakis told reporters in Kiev.

"We have got assurances that there is no intention whatsoever to restrict exports and that these issues will be settled," he said.

After the July and August drought, Ukraine’s grain crop is likely to fall to about 38 million tonnes from 46 million in 2009, the agriculture ministry says. But that is still well above domestic needs of 26 million tonnes.

After Russia introduced a grain export ban in August, the Ukrainian government proposed limiting exports of wheat and barley between September and December, but later said it had put off the final decision until October.

Earlier this month Prime Minister Mykola Azarov said the government would not introduce any limits on grain exports because it had enough grain to cover domestic needs and export demands.

But despite export curbs Ukrainian grain shipments jumped to 1.32 million tonnes in August from 764,103 tonnes in July.
The spike reflects higher barley exports, which have not been affected by the customs service’s curbs.