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GOVERNMENT ADOPTS SET OF MEASURES FOR PURCHASE OF WHEAT

ZAGREB, June 8 (Hina) - The Croatian government on Thursday formulated a set of measures for this year's purchase of wheat. The model to be applied in the purchase was said to have several more market trademarks than past models. According to the new model, wheat is to be purchased at the price of 92 lipa per kilo, with a 30-day payment deadline. The government estimates farmers will ultimately make 1.30 kuna per kilo after the 1,370 kuna state inducement per hectare is added to the 92 lipa. This year 250,000 tonnes of the most important bread grain should be purchased, a task to be carried out by the company which will export some 200,000 tonnes of wheat purchased from legal entities at a guaranteed price and from wheat stockpiles. Croatia may expect 920,000 tonnes in crops this year. Requirements for mercantile wheat amount to 560,000 tonnes, those for seminal wheat about 65,000 tonnes. Agriculture Minister
ZAGREB, June 8 (Hina) - The Croatian government on Thursday formulated a set of measures for this year's purchase of wheat. The model to be applied in the purchase was said to have several more market trademarks than past models. According to the new model, wheat is to be purchased at the price of 92 lipa per kilo, with a 30-day payment deadline. The government estimates farmers will ultimately make 1.30 kuna per kilo after the 1,370 kuna state inducement per hectare is added to the 92 lipa. This year 250,000 tonnes of the most important bread grain should be purchased, a task to be carried out by the company which will export some 200,000 tonnes of wheat purchased from legal entities at a guaranteed price and from wheat stockpiles. Croatia may expect 920,000 tonnes in crops this year. Requirements for mercantile wheat amount to 560,000 tonnes, those for seminal wheat about 65,000 tonnes. Agriculture Minister Bozidar Pankretic said the government with the formulated model wanted to ensure stability of purchase and an acceptable price of wheat, exclude the state budget from the purchase, and ultimately restore order to the wheat and flour market. Finance Minister Mato Crkvenac said he was satisfied with the model, but that it needed further upgrading. He assessed the final price of 1.30 kuna per kilo of wheat acceptable, believing the government should not yield to pressure from those who deem the price too low. Prime Minister Ivica Racan said it was the maximum this government could do in an effort to stimulate agricultural manufacturers and act in line with market requirements. In order to anticipate competition, especially in its neighbourhood, Croatia will hit the world market with its wheat surplus as soon as possible. The government today also established guaranteed prices for wheat, sugar beet, tobacco leaves, and oil crops. The guaranteed prices for wheat and tobacco remain the same, namely 75 lipa and eight kuna per kilo respectively, but those for oil crops dropped by about ten, and those for sugar beet about five percent, a measure explained with last summer's increase in state inducements for oil crops and sugar beet. Agriculture Minister Pankretic reminded of the stimuli the new government had taken in agriculture, and announced some new steps, among which is the passing of an agriculture law, and the establishment of a market support agency which should help in stabilising domestic agriculture. (hina) ha mm

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