IKAR in Mass Media

Russian wheat prices down amid healthy supply

08 декабря 2020 года

* Domestic demand from flour millers remains strong
* Weather disfavours Russian winter wheat so far

MOSCOW, Dec 7 (Reuters) - Russian wheat export prices fell slightly last week amid healthy supply from domestic farmers, analysts said on Monday.

Russian wheat with 12.5% protein loading from Black Sea ports for supply in December was at $252 a tonne on a free-on-board (FOB) basis at the end of last week, down $2 from the week before, the IKAR agriculture consultancy said in a note.

Sovecon, another agriculture consultancy in Moscow, said wheat and barley were steady at $255 and $216 a tonne, respectively.

Demand from exporters and the livestock industry in the domestic wheat market was muted last week, while demand from flour millers remains strong, Sovecon said.

"Supply is slightly higher as some farmers are concerned about all talks about export restrictions and ready to sell at the current prices," it added.

Russia's agriculture ministry proposed setting a grain export quota of 17.5 million tonnes for Feb. 15-June 30. The government is yet to approve this proposal. Some livestock consumers are calling for an export tariff on Russian wheat.

The weather this month does not look good for winter wheat regions so far, Sovecon said, adding that it was mostly dry last week and cold weather arrived to parts of the Volga region.

Other Russian data provided by Sovecon and IKAR:

 Product:            Price at the end       Change from week
                        of last week:                earlier
 - Domestic 3rd         15,950 rbls/t               +25 rbls
 class wheat,                ($214.6)  
 European part of                      
 Russia, excludes                      
 delivery                              
 (Sovecon)                             
 - Sunflower seeds      39,900 rbls/t              +875 rbls
 (Sovecon)                             
 - Domestic             88,500 rbls/t            +1,650 rbls
 sunflower oil                         
 (Sovecon)                             
 - export                    $1,100/t                   -$40
 sunflower oil                         
 (Sovecon)                             
 - export                    $1,095/t                   -$35
 sunflower oil                         
 (IKAR)                                
 - Soybeans             40,700 rbls/t            +1,700 rbls
 (Sovecon)                             
 - white sugar,              $538.6/t                    -$5
 Russia's south                        
 (IKAR)                                
 ($1 = 74.3380 roubles)

Source: Reuters | #grain | Comments: 0 Views: 37

There are no comments yet. Be the first!

Only authorized users can comment.