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21 June 2019, 15:44

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LPR food companies sign 14 forward agreements to sell winter wheat

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LUGANSK, June 21 (Lugansk Media Centre) – LPR state food enterprise Agrarnyi Fond has signed 14 forward agreements to sell 7,7 thousand tones of class 3 winter wheat, the Minsitry of Agriculture reported.

A forward contract is a contract to buy or to sell an asset at a specified future time at a price agreed upon today. The LPR decided to implement forward purchase to support farmers with float fund at a financially challenging period of crops planting.

“As of June 21, LPR state food enterprise Agrarnyi Fond has signed 14 forward agreements to sell 7,7 thousand tones of class 3 winter wheat, 50 percent advance payments have been made.”

The companies willing to sign forward contracts are required to have no outstanding debts, including rent and salaries.

LuganskMediaCentre — 21 June — Lugansk