Kernel will ship Ukrainian wheat to Egypt

The Egyptian Government Grain Buyer (GASC) purchased 180,000 tonnes of milling wheat for delivery from 15th to 25th of October 2021.

The acquired volume was distributed between exporters from Romania and Ukraine. The best FOB offer came from a Romanian company, which is $9 higher than the lowest offer for the previous tender on August 18th, 2021.

It is noted that offers from Russian exporters turned out to be less attractive in relation to Romanian ones.

Traders reported the following purchases:

• Inerco Trade (Kernel subsidiary): 60 thousand tons of Ukrainian wheat at a price of $304.25 per ton on FOB basis, with a rate of $36.08 for freight, which is $340.33 on a C&F basis;
• Grain Export: 60 thousand tons of Romanian wheat at $308.5 per ton on FOB basis, with a freight rate of $29.6 per ton, which is $338.1 on C&F basis;
• Archer Daniels Midland (ADM): 60 thousand tons of Romanian wheat at $308.5 per ton on FOB basis, with a freight rate of $34.43 per ton, which is $342.93 per ton on C&F basis.

As USM reported earlier, in July Egypt purchased 120,000 tonnes of Ukrainian wheat from Nibulon and Inerco. At the same time, the country also bought 60 thousand tons of Romanian wheat from Viterra (an agricultural division of Glencore).

Note that experts from the USDA (US Department of Agriculture) have raised their estimate of the wheat crop in Ukraine in the 2021/22 season.

According to the USDA forecast for August, the wheat harvest in Ukraine will amount to 33 million tons. This is 3 million tons more than the USDA forecast in July.

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