Economy, Domestic Economy

Gov’t Buys More Wheat From Local Farmers

Gov’t Buys More Wheat From Local FarmersGov’t Buys More Wheat From Local Farmers

The government has purchased 9.2 million tons of wheat worth 117 trillion rials (more than $3.3 billion at market exchange rate) from local farmers since March 15, indicating a 13% rise compared with the corresponding period of last year. The government buys wheat from local farmers at guaranteed prices to build up its strategic reserves and control prices in the domestic market. Khuzestan in the south, with close to 1.4 million tons, Golestan in the north with 1.32 million tons and Fars in the southwest with 846,000 tons, top the list of provinces from where the purchases have been made, IRNA reported.  At the beginning of this year’s harvest season, it was estimated that about 13 million tons of the grain would be produced from 6 million hectares of irrigated and rain-fed fields, 10 million tons of which would be purchased by the government. Yet, the Government Trading Organization of Iran is optimistic that production and purchases will exceed the predicted figures.