Grain mills in Asia will increase their wheat imports in the near future as prices in the Black Sea region are low.
Aging wheat from the Russian Black Sea port is currently quoted at USD 245 / tonne c & f Asia. Last week the prices were still at USD 250 / tonne c & f Asia. Wheat for the next harvest is currently available at USD 225 / tonne c & f Asia after USD 230 in the previous week.
An early harvest start is expected in the Black Sea region in June, so that the grain is ready for shipping from July. The wheat harvest in Ukraine is likely to be smaller, while that in Russia will be larger than last year.
After 28.2 million tons in the previous year, Ukraine is probably only harvesting 25.8 million tons of wheat. Production in Russia could increase from 73.5 million tons in the 2019 harvest year to 81-82 million tons in 2020.
Source
HANSA Terminhandel
