The state on Tuesday, October 4, bought from farmers 58 725 tons (offered for sale 62,1 thousand tons) totaling 560 472 750 rubles this was reported NTBs.

Main purchased volume was wheat class 3 - 15 525 thousand tonnes and grade 4 - 27 945 tons. Also purchased 8 370 tons of wheat class 5 and 6 885 thousand tonnes of barley.

The average prices of purchase of grain as of September 28 were:

• wheat class 3 – 10 526,1 rubles/t;
• wheat of 4 class – 9 775,6 rubles/t;
• wheat 5 class – 8 412,9 rubles/t;
• barley – 7 764,7 RUB/t

Since the beginning of bidding in 2016/17 MG (19 September) at site NTB was purchased 278,51 thousand tons of grain totaling 2,772 billion.

We will remind that the first auctions on NTBs held on Monday. Then the state bought agricultural producers of the Kurgan and Omsk regions of 11.34 tons of grain (from tendered to 14.04 thousand tons) for a total 113,083 million RUB for the second time the government bought from farmers of 83.43 thousand tons for the total amount of 850,588 million rubles, reported NTB. In the third trading day it was purchased 63,99 thousand tons of grain offered for sale 64,665 thousand tons) for a total amount of RUB 640 million In the last trading day, 28 September, was purchased 61,02 thousand tons (offered for sale 61,115 thousand tons) totaling 608,18 million.

The mechanism of procurement (procurement by the state grain) and commodity (selling grain from the state intervention Fund) intervention operates in Russia since 2001. It is aimed at the stabilization of prices on the grain market and support agricultural producers. When prices fall, the government removes excess grain from the market in order to stop its depreciation, with a sharp rise in prices - is selling grain from the state Fund and thereby stops its rise in price.