The state on Wednesday, November 16, purchased from farmers 26 325 tons of grain (from the proposed 27 405 tons), totaling 253 455 750 rubles this was reported NTBs.

Main purchased volume was wheat class 4 – 20 to 250 tons worth 203 100 750 rubles. Also purchased 5 400 tons of wheat class 5, the purchase amount of which reached 44 955 000. Wheat class 3, bids were listed. Barley purchased in the amount of 675 tons 5 400 000 rubles.

The average prices of purchase of grain as of November 16 were:

• wheat class 4 – 029,7 10 rubles/t;
• wheat 5 class – 8 325,0 rubles/t;
• barley – 8 000,0 RUR/t.

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.