Russian wheat up for 12th week amid higher global benchmarks

Russian wheat export prices rose for 12th consecutive week, supported by robust demand and following higher global benchmarks in Chicago Wv1 and Paris BL2Z1, analysts said on Monday.

Russian wheat with 12.5% protein loading from Black Sea ports for supply in the first half of November was $307 a tonne, free on board (FOB), at the end of last week, up $3 from the previous week, said Dmitry Rylko, the head of consultancy IKAR.

Sovecon, another consultancy, pegged wheat as having risen $1.50 to $306 a tonne, while barley also rose by $1.50 to $262 a tonne.

Russian wheat exports are down 14% since the start of this season on July 1 due to a smaller crop and a higher export tax.

The tax, which Moscow has set on a weekly basis since June, will rise to $57.8 a tonne for Oct 6-12 from the current $53.5. The price index on which it is based remains lower than the actual FOB price.

“Weather conditions are to improve for late crops’ harvest, set up for 2022 crop is good,” Sovecon said.

However, the sowing is significantly delayed compared with a year ago.
Source: Reuters (Reporting by Olga Popova and Alexander Marrow; editing by Kirsten Donovan)


Leave A Reply

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.