ALMATY, July 12 (Xinhua) -- Kazakhstan, a central Asian country that has also been severely affected by the worldwide food crisis, has put in place a series of significant measures to curb the skyrocketing food prices.

    As one of the eight biggest food exporters in the world, Kazakhstan's grain output hit a new record high of 20.1 million tons in 2007, while its domestic grain demand is only around 10 million tons per year.

    Food prices in Kazakhstan have been souring due to food shortages. In the second half of 2007, the price of wheat surged 67 percent in just three months, while that of flour jumped 58 percent, leading to a temporary suspension in the country's bread supply.

    Controlling the soaring food prices and maintaining national food security are top priorities for the Kazakh government, President Nursultan Nazarbayev has vowed.

    Therefore, the Kazakh government has launched a series of measures at the production, supply and sales stages in a bid to tackle the crisis.

    In order to expand grain plantation and the yield per unit area, Kazakh local governments granted 21.7 billion Kazakh tenge (KZT) or 180 million U.S. dollars to develop agriculture and increase subsidies for planting crops.

    With encouragement from the government, Kazakhstan's grain plantation area this year reached 16.2 million hectares, an increase of 774,000 hectares compared with last year.

    In November 2007, the Kazakh government also established an efficient mechanism to monitor the international and domestic markets, which allows the relevant government departments and financial organizations to keep a watchful eye on the markets and make timely and relevant policies.

    Besides, the Kazakh Agricultural Ministry has mapped out a series of concrete measures to further strengthen the supervision and control of food. It will monitor and verify the stockpile and circulation of grain, and punish hoarders and those who create artificial shortages.

    In April this year, Kazakhstan decided to ban the export of wheat and intensify its drive against illegal wheat export. The country also plans to abolish food agencies and establish unified futures markets of grain.

    Another important step is to establish a stable food reserve. Some 32.7 billion KZT (270 million U.S. dollars) and 24.4 billion KZT (200 million dollars) from fiscal reserves and the state development fund respectively were allocated to enable all regions of the country to set up a food reserve.

    To halt the food price spiral, Kazakhstan has also been working hard to maintain stable supply channels. It has also set up a commitment system to oblige the local governors and the Agricultural Ministry to maintain food price stability.

    The local governments must also sign memorandums of cooperation on maintaining stable food prices with local bread producers, fairs and supermarkets. In return, local merchants can buy grain from the government at a lower price.