You're reading: Azarov: Ukraine offers Saudi Arabia long-term contract on grain exports

Saudi Arabia is interested in the large one-time purchase of Ukrainian grain, however, Ukraine would like to sign a long-term contract on grain exports to this country, Ukrainian Prime Minister Mykola Azarov has said.

"Saudi Arabia is interested in the one-time purchase of 7.5 million tons of barley. But we are planning to offer a long-term contract," he said at a meeting of the press club in Kyiv on Monday.

Azarov said that in the 2011/2012 marketing year, Ukraine is expected to increase grain exports to over 20 million tonnes, compared to 12 million tons supplied to foreign markets last year, which will help the country get over $4.5 billion and significantly replenish the state budget.

According to Ukraine’s Agricultural Policy and Food Ministry, the country’s grain harvest this year should top 50 million tonnes, compared to 39.3 million tonnes in 2010.

Grain exports for the current marketing year are forecast at 25 million tonnes, compared to 12 million tonnes in the previous marketing year.