Prices for Russian export wheat fell last week as competition for customer Egypt has intensified. Romania was also chosen to deliver a partial quantity at the last tender.
Egypt, the world's largest wheat importer, bought 295,000 tonnes of common wheat from Russia and Romania on 12 December. Four out of five subsets are supplied by Russia. Russia has been the only supplier for months.
Russian wheat with 12.5% protein for export in December cost $ 190 / ton fob last Friday. That's $ 1 / ton less than last week.
From 1 July to 13 December, Russia exported 24.5 million tonnes of grain, an increase of 34% over the same period last year. Of these, 19.1 million tonnes were wheat (+33%).
The Russian Deputy Minister of Agriculture estimates export potential at 40 million tons of wheat in the 2017/18 season. Russia harvested a record crop of 140.4 million tons of unrefined grain in 2017, and farmers have already completed their field crop for the 2018 harvest. 17.1 million hectares were ordered, the original planned area is only 98.4%.
Prices for Class III wheat on the local market increased by 75 rubles / ton to 8,650 rubles or the equivalent of 148 USD / ton in the European part of southern Russia from the loading station.
Text: HANSA Derivatives Trading GmbH /
