Changes Brought by Implementing Regulations on Purchase / Sales of Cereals and Paddy Rice

1. Changes Brought by Implementing Regulations on Purchase/ Sales of Cereals and Paddy Rice

2. PLAN: • To apply minimum intervention purchasing quantity for cereals and paddy rice. • To approximate the minimum purchasingquantity to the EU level incrementally • Minimum purchasing quantityfor cereals other than durum wheat • Between 2009/10 - 2011/12 marketing year : ------ • For 2012/13 marketing year : 10 ton • For 2013/14 marketing year : 15 ton • For 2014/15 marketing year : 25 ton • For 2015/16 marketing year : 40 ton • For 2016/17 marketing year : 60 ton • For 2017/18 marketing year and onwards : 80 ton • Minimum purchasing quantity for durum wheat • Between 2009/10 - 2011/12 marketing year : ------ • For 2012/13 marketing year : 10 ton

3. Minimum purchasing quantities for paddy rice Between 2009/10 - 2011/12 marketing years : ------ Between 2012/13 - 2013/14 marketing years : 5 ton Between 2014/15 - 2015/16 marketing years : 10 ton For 2016/17 marketing year : 15 ton For 2017/18 marketing year and onwards : 20 ton BENEFIT: A smooth transition will be managed to apply the minimum purchasing tonnage which is currently applied in the 27 EU countries. On the other hand the farmers who can not supply the minimum tonnage by themselves will come together under cooperatives or unions in order to meet the minimum purchasing quantity. This will encouragethe farmers’ unification and organization. PLAN: The purchases will be done not only from the producer and cooperative but also from companies and traders as in the EU BENEFIT: The private sector will be encouraged to take more active role in purchases and trade of cereals and paddy rice and so finance of private sector will be increased.

4. PLAN: Withdrawing the beginning date for purchasing of the cereals incrementally from beginning to the end of the harvest period for harmonization to the EU legislation . Cereals Intervention Periods • BENEFIT: • Purchasing of the producers' product at an earlier date than those of traders and companies during the transition period will provide protection for the producers. • Producer unions will develop.Licensed warehouse system will develop. • The commodity that can not be marketed will be offered to intervention in the final stage so the level of the burden of public finance will be provided to be kept at a minimum level.

5. PLAN: Withdrawing the beginning date for purchasing of the paddy rice incrementally from beginning to the end of the harvest period for harmonization to the EU legislation . Paddy rice Intervention Periods • BENEFIT: • Purchasing of the producers' product at an earlier date than those of traders and companies during the transition period will provide protection for the producers. • Producer unions will develop.Licensed warehouse system will develop. • The commodity that can not be marketed will be offered to intervention in the final stage so the level of the burden of public finance will be provided to be kept at a minimum level.

6. PLAN: Payments for purchasing will be made until 35th day after delivery as in the EU BENEFIT: By organising a better financial program,producers’efforts will be evaluated on time. PLAN: Domestic and international sales will be done on the basis of warehouse delivery as in the EU paying agencies BENEFIT: Private sector will be more effective in the domestic and foreign sales

7. PLAN: Storage of commodities in EU Standards BENEFIT • Constructing new modern warehouses, • Minimizing the storage losses, • Encouraging the private sector forestablishing warehousing companies, • Increasing the storage capacity of Turkey • PLAN: • Application of EU purchasing standards • BENEFIT • producers’efforts will be evaluated on time. • Increasing production quality, • Having homogeneous stocks according to EU standards, • Marketing facilities in the domestic and foreign markets, • Availability of competitiveness, • Increasing the confidence for product quality

8. Thank you for your attention Research Planning and Coordination Department Foreign Relations Section