The outlook for the 1998 grain harvest is satisfactory. Official reports indicate that the area sown to grains, 183 000 hectares, is close to last year’s level. At this stage, average yields are expected to be higher than last year, when adverse weather damaged crops on 110 000 hectares. The 1998 grain harvest is targeted at 297 000 tonnes, compared to the official estimate of 258 000 tonnes in 1997. The overall food supply situation has stabilized. The country has become almost self sufficient in potato and vegetable production, which have substituted grains in the diet to some extent. Current indications are that the 1997/98 cereal import requirement of 360 000 tonnes is covered.