Wheat prices rose again in Ukrainian ports
Wheat prices in deep-sea ports of Ukraine increased by UAH 450-500 (USD 16.49-18.32) per ton.
As of November 25th, CPT-port demand prices in deep-water ports increased, on average, by UAH 450-500 per ton against November 19th – to UAH 10,150 (USD 371.93) per ton for wheat of 2nd and 3rd classes. This is mainly due to the limited supply available, according to G.R. Agro.
Farmers were holding back sales due to higher prices, which caused a shortage of supply. The domestic market also creates competition. On November 25th, the Turkish Grain Council (TMO) purchased 385 thousand tons of wheat for delivery on January 10th-31st. There were no signals from the CBOT as the US celebrated Thanksgiving. In one day, the hryvnia against the dollar fell by 1% to a minimum since the beginning of autumn.
In the short term, prices will be supported by the following factors: wheat protein from Australia – less than expected due to rains; a possible increase in export duties on wheat in the Russian Federation; the introduction of a wheat export quota from mid-February 2022.
For milling wheat, the limited supply will also help support the crop’s prices.
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