Wheat prices at ports fall amid weak exports

Traders fix food grain within 224-228 dollars per ton, feed grain – 216-218 dollars per ton.

The downward trend in prices persists in conditions of excess supply and weak export activity. “Kurkul” writes this with reference to analysts from Spike Brokers.

In July, Ukraine exported only 858 thousand tons of wheat, which is almost half as much as in the same period last year (1.5 million tons).

Delays in shipments form a deferred supply for September, which, according to brokers, intensifies future competition for logistics and sales markets, primarily in the feed segment.

On the western border, in particular in Italy, prices for Ukrainian wheat with 11% protein content are kept at €187/t, feed is estimated at €184/t FCA.

Among the current price indications on DAP Odesa terms:

• wheat 12.5% — $226–228/t;

• wheat 11.5% — $224–226/t;

• fodder — $216–218/t.

On FCA terms (border of Ukraine):

• 11.0% — €185–187/t;

• fodder — €182–184/t.

According to the Ministry of Agrarian Policy, as of the end of July, 11.3 million tons of wheat were threshed in Ukraine from an area of 3 million hectares, which is 61% of the projected harvesting area. As USM recently reported, Kernel shares on the Warsaw Stock Exchange continue to grow.