Source: Zerno.ru (Russia)
Export prices for Russian wheat (12.5% protein) for delivery in October-November have risen to a four-month high since the end of July – to USD 232-233 per tonne (FOB), up USD 6.5 on the previous week, Interfax reports, citing the Rusagrotrans analysis center.
At the same time, prices in the nearest competitor countries fell, but still remained higher than Russian wheat prices. The price of French wheat fell by USD 4 to USD 253 per tonne, while the price of Romanian wheat also fell by USD 4 to USD 243. American wheat rose by 2 US dollars to 270 US dollars per tonne.
As analysts note, the rise in export prices continued amid a wave of demand from importers. Saudi Arabia bought 307,000 tons of wheat mainly from Russia, Algeria bought more than 0.5 million tons in the tender, also mainly from Russia. Bangladesh is conducting a tender.
“In addition, extremely dry conditions for winter sowing continue to prevail in the Russian Federation, while rain is forecast for the south and no precipitation is expected in the center and the Volga region over the next two weeks,” the analysts said. – In France, the situation is reversed, where only 6% of the winter sown area was sown on October 10 due to excessive rainfall, compared to 13% a year ago and 9% on a five-year average. In Argentina, the proportion of wheat in poor condition has risen to 38%, up from 33% the previous week, but the rainfall situation is beginning to improve.”
According to the center, wheat prices (grade 4, 12.5% protein) at deep water ports rose by Rs 400 crore to Rs 18,000-18,200 per tonne (excluding VAT) during the week, while at shallow water ports they rose by Rs 600 crore to Rs 17,000 per tonne. Last year, prices were 15,150 and 11,600 rubles per ton, respectively.
The domestic wheat market has firmed up. Wheat prices (4th class, 12.5% protein, EXW Elevator) rose by 700 roubles to 16,400-16,800 roubles per tonne (excluding VAT) in the south, by 200 roubles to 13,700-14,300 roubles in central Russia and by 500 roubles to 14,100-14,500 roubles per tonne in the Volga region.
In Siberia, prices for 4th class wheat remained around 9,000-10,500 roubles per ton (EXW elevator without VAT).
