Ukrainian wheat prices rise in the port of Constanta

This week, Ukrainian food wheat in the Romanian port of Constanta has increased in price.

This was reported by the IA “APK-Inform”.

The increase in demand prices for Ukrainian wheat on the basis of DAP Constanta is caused by a combination of logistical collapse and global market factors. The main factor was the complete exhaustion of the European Union’s duty-free quotas for Ukrainian wheat, which actually stopped purchases at the western land border and massively reoriented additional export flows of Ukrainian grain through the Danube ports of Ukraine (Izmail, Reni) and towards Constanta. After all, in conditions of a complete blockade of Ukrainian deep-water ports due to military risks, the port of Constanta has become the only available hub for the formation and shipment of large-tonnage vessels.

At the same time, Ukrainian ports on the Danube faced continued Russian shelling, shallowing of the river, and a queue of over 50 vessels near the Sulina Canal, which led to a rapid increase in idle fees.

The congestion of the river route only increased the premium of the DAP Constanta basis. Prices are also supported by the global stock market rally, the shortage of high-quality food grain, and the willingness of importers to pay for expensive logistics.

Thus, as of August 27, the purchase prices for Ukrainian food wheat of grades 2 and 3 on the specified basis were mainly 250-255 and 245-250 USD/ton — 7-10 USD/ton more than at the end of last week.

Earlier, USM reported that wheat on the world market had risen to a three-year high due to risks for exports from the Black Sea.