On May 28, President Shavkat Mirziyoyev signed the Additional measures to introduce the market principle in the cultivation and sale of wheat Decree.

From April 16, 2020, in order to ensure price stability in the domestic market in the context of the coronavirus pandemic, a temporary procedure for the supply of flour on a contractual basis without exchange trading has been established in the country. This temporary measure served its purpose, the Ministry of Economic Development and Poverty Reduction said.

The press service of the ministry explained the inexpediency of maintaining the current procedure:

• the establishment by the government purchase prices for wheat to provide the domestic market with cheap flour and bread does not correspond to market principles, which led to losses for farms growing wheat;
• a major difference between prices for imported and domestic flour has led to the formation of a corruption environment in the supply chain of domestic flour, since wheat flour purchased at the expense of state resources does not fully satisfy the domestic market;
• there are cases when shaped bread (loaf) made from cheap flour is used to feed livestock;
• flour and bread at low prices do not reach the population in full. Many entrepreneurs "took the path of easy money", selling part of the state flour at high prices in the market, not delivering it to the population in full at low prices. Flour intended for the production of cheap molded bread is also sold on the market without reaching bread manufacturers.

The new presidential decree defines the areas for liberalizing the grain market, the main goal of which is to increase the material interest of grain producers, including farms, and on this basis to create a basis for a sharp increase in grain yields and gross output. It is expected that this will create the basis for the uninterrupted supply of the domestic market with wheat and flour products and increase the investment attractiveness of the industry.

According to the document, as part of the 2022 harvest, it is planned to harvest 2.55 million tons of wheat - an average of 2.5 tons per hectare of irrigated area. From this volume:

• 1 million 783.5 thousand tons of wheat will be purchased as a commodity wheat of the state resource and 266.5 thousand tons of seeds - at the expense of the State Support Fund for Agriculture;
• 500 thousand tons of grain will be accepted for temporary storage from the commercial representative of the fund (Uzdonmakhsulot enterprise) for sale at the exchange auction by farms and other grain producers.

At the first stage, the state will buy wheat at a minimum purchase price of 3 million soums, and in July-August - based on the average price on the exchange. For example, if the exchange price of 1 ton of grain in August is 3.5 million soums, then the farmer will be paid another 500,000 soums. This year, the state will allocate more than 6 trillion soums for these purposes.

Marketable wheat, accepted from wheat producers for temporary storage at Uzdonmakhsulot enterprises, will be sold in July-August at the exchange auction.