There is a big problem with Hungarian bread

By: Trademagazin Date: 2023. 01. 17. 12:20

There is serious confusion on the domestic grain market, is Hungarian bread still Hungarian? So far, more than 1.3 billion tons of grain and oilseeds of dubious quality – of which 900,000 tons are corn – have arrived in our country from Ukraine. Due to this quantity, as well as the export licensing procedure announced last year, the grain market has frozen, and producers cannot sell their crops either domestically or for export.

Experts are concerned

As a result, the spring work can be financed less and less, which threatens this year’s production as a result of the reduced use of fertilizer due to the runaway input prices. In addition to the damage to farmers exceeding HUF 1,000 billion last year, due to poor regulation, they practically do not receive damage mitigation. Unlike other branches of the national economy, they do not get preferential loans, or they get delayed and to a lesser extent, which is now only exacerbated by the freezing of the grain market. Meanwhile, the consumer is forced to buy bread made from Ukrainian wheat.

An ever-increasing amount of grain, primarily wheat and corn, arrives from Ukraine through our eastern border. This in itself would not be a problem if, in accordance with the original promises, this product went on to Europe and North Africa. On the other hand, the majority of the goods received in this way are purchased by Hungarian ethanol and isosugar factories, feed mixers, and Hungarian mills. As a result of the runaway energy and input prices, liquidity problems arose in the sector.

MTI