Ukrainian grain becomes cheaper due to russian shelling
9.11.2022 - 15:25
Over the past week, export prices for wheat in the ports of the Danube and Great Odesa decreased. Indicators of fodder corn are also decreasing.
Wheat prices fell due to high freight rates and risks of grain supplies via the Black Sea. At the same time, cargo flows in the direction of the ports of the Danube region have recently increased somewhat, reports IA “APK-Inform”.
In addition, the decrease in demand was influenced by the risks of shelling of the southern regions of Ukraine by russian federation. Most farmers and traders are afraid to store large volumes of grain.
In general, purchase prices for wheat of the 2nd and 3rd class and forage decreased to 195-225, 190-215 and 175-205 USD/t, or 7600-8500, 7450-8350 and 6500-7670 UAH/t SRT-port. At the same time, mainly the maximum prices in the Danube ports decreased.
In addition, according to the results of last week, indicators of fodder corn with delivery on FOB terms from deep-sea ports decreased slightly.
The demand of importers during sea exports remains extremely low, the port containers are full, and some terminals resumed their work only at the end of the week, said the head of the department of grain and oil markets of AI “APK-Inform” Hanna Tanska.
Thus, the indicative prices of fodder corn for delivery in November from Black Sea ports decreased by 5-10 USD/t during the week, to 265-285 USD/t FOB.
“The prices for Ukrainian grain make it quite competitive on the world market. However, with uncertainty about the future of the “grain corridor”, high freight rates and high risks? it is not in demand, importers often insist on an even bigger discount, so real offers continue to arrive at prices lower than market prices,” the expert noted.
