On 10 August 2021, the Government of the Kyrgyz Republic adopted a resolution (Resolution 119), introducing a Value Added Tax (VAT) exemption on imports of wheat grain and flour. The Resolution, which applies to grain imported for processing into flour (including by the State Material Reserves Fund) and flour produced by importers using domestically produced grain, is intended to stabilize the domestic price of flour as inflation drives up staple food prices. The exemption is valid until 1 August 2022.