BLOG

TMO launches an intervention study in grain market

04 June 20213 min reading

Ahmet Güldal, General Manager of TMO: “Taking into account the extraordinary conditions in the grain markets this year, TMO also conducts a dynamic market monitoring and intervenes more effectively and earlier than normal periods.”

Ahmet Güldal, Chairman of the Board of Directors and General Manager of Turkish Grain Board (TMO), said that due to the price formations above the expectations in the grain markets, TMO started a market intervention study. Güldal said, “We follow the market closely, and we take quick decisions when necessary. Extraordinary decisions can be taken in extraordinary times. Due to this requirement, we keep all intervention methods on our agenda for the sake of ensuring market order and stability.”

Ahmet Güldal, whose statements on the subject were published on TMO's website, gave information about the measures they took regarding the price fluctuations in the grain markets.

Stating that although there are yield deficiencies in some countries due to drought and the world's total wheat production is expected to break a record with 790 million tons this season, Güldal said that global wheat consumption is estimated to be 787 million and that production is above consumption. Güldal pointed out that the price of new crop wheat started to decrease in countries such as Russia and Ukraine, where the rainfall has been sufficient and will decrease further in the future.

Güldal pointed out that while these developments were taking place in the world, the wheat yield estimation in Turkey was announced as 19 million tons and the barley yield estimation was 7.8 million tons by TURSTAT and reminded that TMO had announced the grain purchase prices before the harvest period.

Güldal stated that although it is the beginning of the harvest period, there are higher than expected increases in grain prices, especially in feed ingredients, due to drought and speculations related to foreign market prices. “TMO has started to intervene in the market due to the abuse of this situation for market developments. Considering the extraordinary conditions in the grain markets this year, TMO also conducts a dynamic market follow-up and intervenes more effectively and earlier than normal periods. We follow the market closely in real-time and take quick decisions when necessary. Extraordinary decisions can be taken in extraordinary times. Due to this requirement, we keep all intervention methods on our agenda for the sake of market order and stability. We are taking the measures necessary for market order and stability by acting in coordination with the Ministry of Agriculture and Forestry and the relevant ministries," he said.

General Manager Güldal pointed out that they will keep all kinds of domestic and foreign trade measures on the agenda for the balance and stability of the grain markets and added: “We will act according to the market developments. We plan to supply the grain and feed markets with much higher tonnage at the prices we have declared. Shall all our stakeholders, particularly the breeders, be assured and know that there is no need for any unease.”

Articles in News Category
18 February 20202 min reading

AGI announces strategic addition to Suretrack Platform

Ag Growth International Inc. (AGI) announced that it has acquired 100% of the shares outstanding ...

20 July 20193 min reading

Trump’s tariff threat fail to stall Mexican demand for U.S. wheat

Jose Luis Fuente, head of the CANIMOLT, Mexico’s main wheat chamber, expects more U.S. wheat this y...

26 June 20203 min reading

Bühler opens new Food Application Center as collaboration venue for creating the future of food

Bühler has opened its new Food Application Center (FAC) as the crowning moment of Bühler GO! 2020...