Russia's ruling party, United Russia, will monitor food prices in the country's regions, a party leader said on Thursday.

"The United Russia party will monitor the prices of basic food products in the regions. We have instruments to keep this issue under control," said Boris Gryzlov, who is also the speaker of the lower house of the Russian parliament.

The party has initiated a project called "The People's Control," which encourages interaction between manufacturers, retailers and consumers to help prevent sudden increases in food prices.

The chairman of Russia's upper house of parliament called on regional authorities on Wednesday to react quickly to food price inflation, caused by the record-breaking heat wave and drought.

The heat wave has destroyed a quarter of this year's harvest, forcing the government to ban grain exports until the end of the year and reducing grain forecasts to as low as 60 million tons - 38 percent less than last year.

The Kremlin says there are no grounds for food prices to rise. President Dmitry Medvedev has ordered the government and the prosecutor's office to monitor food prices and foil those trying to cash in on the situation.

MOSCOW, August 19 (RIA Novosti)