Bulgaria's Grain Balance Will Be Secured
On the eve of the harvest campaign Bulgaria is expected to have a good one, to the tune of 5 million tonnes, calculations of the Ministry of Agriculture, Food and Forestry calculations say. This will allow the country to meet domestic consumption and preserve its status as an exporter, Minister Dessislava Taneva told a news briefing after a meeting of the Grain Consultative Council.
Regardless of the problems established with the harvest due to the drought, mainly in Northeastern and Eastern Bulgaria, a good harvest is expected again. The most pessimistic forecast of the European Commission, above the realistic of 5 million tonnes, is 5.8 million tonnes, Taneva said.
There are no indications for rising price levels on the futures market and that means that Bulgaria will definitely preserve the status of a large net grain exporter and a price hike of flour for domestic consumption is not expected.
The Chairman of the Consultative Council, Ventsislav Vurbanov, said that the main conclusion of the forum was that, in spite of local problems, there is no threat for the grain balance. These problems are mainly in the regions of Varna, Dobrich, Shabla, Kavarna and part of Silistra region. Sofia Commodity Exchange expects a good harvest.
This will lead to increased stock and no shocks on the markets are expected. The Chairman of the National Grain Producer Association, Kostadin Kostadinov, said that members think the condition of wheat is relatively good. The harvest expected, in his opinion, will be some 4.2-4.3 million tonnes of wheat, or about 30 per cent less compared to 2018.
Mariana Koukousheva, member of the Board of the Federation of Bakers and Confectioners in Bulgaria, also confirmed that the bread balance of Bulgaria is guaranteed and bread prices will not rise.
Source: BTA Daily