Spoiled corn in the Odesa region has risen in price

The State Food and Grain Corporation of Ukraine has once again put up corn for sale in Odesa region that does not meet state standards.

According to Prozorro.Sale, the new auction is scheduled for March 5.

The starting price of the new auction is set at UAH 17 million 835 thousand, compared to UAH 17 million 220 thousand during the last auction, which was to take place on February 13 but was canceled due to the lack of bidders. This price was set after a decrease to UAH 15 million 990 thousand, which was set during the auction that was to take place on January 6. However, there were no bidders for the auction at the reduced price. The format remained unchanged - a hybrid Dutch auction.

Class 3 corn from the 2021 harvest was found to have no pests, no excessive levels of weed and grain impurities, and its color and smell were not typical of healthy grain. Since the corn grain did not meet the requirements of the DSTU, it cannot be used for food or feed purposes, but can be used for technical purposes. The total amount is 2,50 tons.

A hybrid Dutch auction is a price reduction auction, during which the initial value of a lot is reduced step by step until one of the participants stops the reduction. Then comes the stage of closed bids: other participants can offer a price higher than the fixed price. The winner is the one who offered the highest amount. However, the participant who stopped the decline in the first stage has the right of last resort and can outbid the opponent's maximum price in the third stage.

An auction in this format starts even without participants, as it is possible to join after the start. It is used to sell assets whose market value is difficult to determine: overdue loans, property of bankrupt banks, or in the case of unsuccessful English auctions.

Кирило Бойко

Spoiled corn from the State Corporation in Odesa region has risen in price

You may also like: