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Monday, 27 June 2016

Supply Ministry dismisses wheat fraud, to enforce penalties for suppliers that misreport

Wheat in the news once again: The Supply Ministry dismissed on Sunday allegations that its wheat procurement figures were inflated, promising to enforce penalties “for domestic suppliers that misreport stocks,Reuters reports on the heels of yet another rejected wheat shipment we mentioned yesterday. “We do not believe the state has lost money or that funds have been wasted,” the ministry said. “There is a 25 percent penalty on quantities not supplied in addition to the price of the wheat itself.” The ministry also said it is not possible to corroborate quantities in each storage site until wheat is fully discharged. But millers and traders told Reuters tools do in fact exist to count wheat in storage and that “discharging the wheat before counting it will allow suppliers to mix cheaper imported grains into their stocks to cover gaps.”

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