Wheat freight from Danube ports to Egypt is $105–110 per ton

Wheat freight from Danube ports to Egypt is $105–110 per ton


The high cost of logistics across the Danube continues to hinder the competitiveness of Ukrainian wheat: about 30% of the cost of grain during deliveries to Egypt is accounted for by transportation.

This was reported by the analytical department of the agricultural cooperative PUSK.

According to analysts, the ship freight from Ukrainian Danube ports to Egypt is currently about $105–110 per ton. At the same time, on the foreign market, wheat with 12.5% ​​protein is traded at $310–311 per ton, and with 11.5% protein — $302–303.

As of October 16, Ukrainian wheat with 11.5% protein was valued at $176 per ton on CPT Danube port terms and $188 per ton on a DAP Reni basis.

At the same time, Danube ports are not currently overloaded with corn, which supports stable spot demand for wheat. As of October 19, Ukraine had already exported 725,000 tons of grain, while about 1 million tons were contracted for the entire month.

The PUSK predicts that by the end of October, wheat exports may reach about 1.1 million tons — approximately at the September level.

At the same time, analysts expect a possible reduction in wheat areas in Ukraine by 10–20% due to the end of the optimal sowing window. This may support world prices in the fall and winter. According to preliminary estimates by the PUSK, the price of third-class wheat on CPT terms in Danube ports in winter may increase to $200–210 per ton.

Earlier, USM wrote that ships are refusing to enter Bulgarian ports — at the risk of 5 million tons of wheat.