Ukraine’s administration will prepare measures to help homegrown food producers, including bakers, cope with a rise in gas prices, Prime Minister Denys Shmygal said on Friday.
Following a record bounce in gas prices across Europe, Ukraine’s prices have also risen, with flour mill operators reporting 10 gas price increases this year.
“On behalf of the president, the government is developing mechanisms to support Ukrainian bakers and also Ukrainian producers of staple food products,” Shmygal told a broadcast briefing.
He didn’t give detail yet said the government intended to limit the rise in prices for some types of bread.
The government has a rundown of basic foods considered especially important, including plain bread, cereals, vegetables, and milk.
Toward the beginning of the year, the government limited the rise in gas prices for households by changing retail consumers to annual contracts with fixed prices until the end of April.
Recently, sources told Reuters the government could restrict food wheat exports from the country later this season, as it tries to tame inflation that is close to record levels.read more
The agriculture ministry and traders sign an export memorandum each season. It is currently set at 25.3 million tons without specifying the amount of feed or milling wheat shipments.
The government could update the memorandum and add a 4 million ton milling wheat export limit for the remainder of the season, the sources said.
Ukrainian grain traders’ association UGA said this week Ukraine had enough wheat to ensure its domestic food needs and there was no need to limit exports.read more