OREANDA-NEWS. March 27, 2012. The Agrarian Fund of Ukraine is buying under forward contracts 1.294 million tons of grain of a crop in 2012, having begun purchases since March, 30. This was stressed by officials of the Agrarian Fund.

In particular, deputy director of the Agrarian Fund Igor Yakubowych informed, that the order of formation of the prices for grain is now coordinated, forward orderings from farmers on purchase 500 thousand tons of grain have already been received.

"The mechanism of secured purchases is in fact low percentage crediting under the rate of National bank of Ukraine which will be less than rates of commercial banks and will make no more than 8 %. Besides procedure of receiving a loan is significantly easier, than in commercial banks", - Igor Yakubovych stressed.

Food grain will be bought: wheat of 2-4 classes and a rye of 1-3 classes. On these objectives is stipulated to use 7.2 billion UAH.

Purchases will occur on the mechanism of payment in 2 stages: advance payment of 50 % of cost - under condition of the conclusion of the forward exchange contract, and 50 % under condition of performance by an agricultural producer of the forward exchange contract.

An agricultural producer has to deliver grain to the certain grain storehouse not later on November, 1st, 2012. Final settlement with an agricultural producer on the basis of the decision of the Commission of the Agrarian Fund has to be carried out not later on December, 1st, 2012.