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The prospects for MY2022/23 winter grain crops remain favorable due to the relatively mild winter, sufficient soil moisture reserves, and snow cover. Higher input costs, however, may have a negative impact on the average yields due to expected lower application of inputs.
The Turkish government continues its efforts to rein in inflation, which was made worse in recent months by the steep depreciation of the Turkish Lira against the US dollar and drought-related grain production losses in MY 2021/22.