Azerbaijan to create new mechanism for formation of wheat stocks

By Trend

Azerbaijani Prime Minister Ali Asadov signed a resolution on additional measures to reduce the negative impact of an increase in import prices for food on the cost of flour and flour products which are sold in the country, Trend reports on Feb. 17 referring to the Azerbaijani Cabinet of Ministers.

In accordance with the resolution, a new mechanism will be created for the formation of wheat stocks in Azerbaijan.

In accordance with the document, the Ministry of Economy, the Ministry of Finance, the Ministry of Agriculture, the Ministry of Emergency Situations, Food Safety Agency and Azerbaijan Railways CJSC will prepare and submit the proposals to the Cabinet of Ministers within two months related to the formation of a sustainable mechanism of appropriate regulation and control to create wheat stocks and reduce the impact of prices for wheat on the world exchanges on domestic prices.

In accordance with part 2 of this resolution, the individuals engaged in flour production will be provided with a subsidy in the amount of 35 manat ($20) for each ton of the sold flour for the period from February 1 through May 1, 2021.

In accordance with the proposal of the Ministry of Economy agreed with the Ministry of Finance, the corresponding funds will be allocated from the Reserve Fund of the Azerbaijani State Budget for 2021 to pay subsidies.