The state on Tuesday, October 25, bought from farmers 45 630 tons for a total amount of 417 804 750 rubles this was reported NTBs.

Main purchased volume was wheat class 4 – 32 940 tons for the sum of 317 202 750 rubles. Also purchased 12 690 tonnes of wheat class 5, the purchase amount of which has reached 100 602 000 rubles. The 3rd class wheat and barley in the auction did not appear.

The average prices of purchase of grain as of October 25 were:

• wheat of 4 class – 9 629,7 rubles/t;
• wheat 5 class – 7 927,7 RUB/t

Since the beginning of bidding in 2016/17 MG (19 September) at site NTB was purchased 417,537 thousand tons of grain more than 5,082 billion.

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.