The Agricultural Corporation presented its purchase price estimate for wheat, calculated on the basis of production costs, to the National Union of Mongolian Farmers. The pricing followed a joint cost survey by the sectoral ministry and the professional association, covering more than 120 farmers and business entities across 41 soums in 11 provinces. Based on the findings, purchase prices were set at 1.45 million MNT per tonne for Class I wheat, 1.35 million MNT per tonne for Class II, 1.25 million MNT per tonne for Class III, and 1.15 million MNT per tonne for Class IV. 

Under the plan, the government will purchase 100,000 tonnes of food wheat for the state strategic reserve at cost-based prices designed to benefit farmers, with the dual aim of meeting domestic demand and maintaining price stability. The corresponding expenditure has been submitted as part of the 2026 budget amendment.

Minister of Food, Agriculture and Light Industry Ts.Iderbat noted that the pricing decision builds on commitments made to farmers last spring. “During a meeting with farmers last spring, based on listening to their current issues and exchanging opinions, the government made decisions to provide fuel and lubricants for spring planting at low prices, increase the amount of preferential loans and improve their accessibility, and provide support for fertiliser and seed supplies,” he said.

He added that the decision to build a 100,000-tonne reserve this autumn, equivalent to roughly one-third of the total wheat harvest, reflects a broader policy goal. The government has decided to create a strategic reserve of 100,000 tonnes this fall, or one-third of the total wheat harvest, which is a policy that will create working capital in the agricultural sector and support economic units in the future, Ts.Iderbat shared.

The minister also pointed to discussions held with flour producers on pricing and supply. “We also met with representatives of flour producing companies and exchanged views on the price of strategic food flour, the supply and delivery of wheat,” he said, noting that the ministry had urged flour factories to hold off on raising product prices and to keep production and sales running smoothly, including by limiting the import of Russian flour into the domestic market.