IKAR in Mass Media

Russian grain prices up on supply shortage fears

30 ноября 2010 года

MOSCOW, Nov 15 (Reuters) - Russian grain prices rose further last week on expectations of short supply in all the country's regions, analysts said on Monday.

Russia'a Agriculture Ministry confirmed last week it expects the 2010 grain crop to be 60.5 million tonnes, a 38 percent decline from the 97 million tonnes reaped in 2009, after the worst drought in more than a century.

Third-grade milling wheat rose by $5 to $201 per tonne in southern Russia (EXW), fourth-grade wheat by $3 to $191 per tonne, feed wheat by $2 to $189 per tonne, the Institute for Agricultural Market Studies (IKAR) analysts said in a weekly note.

Feed barley increased by $10 reaching a record of $224 per tonne, maize increased by $6 to $258 per tonne, it said.

SovEcon agricultural analysts said in their note offer prices for third-grade wheat rose by 250 roubles ($8.12) to 6,475 roubles per tonne EXW in European Russia, fourth-grade by 175 roubles to 6,125 roubles and feed wheat by 250 roubles to 5,925 roubles per tonne.

Feed barley rose by 200 roubles to 7,200 roubles per tonne, SovEcon said. Wheat prices rose also in Siberia after animal breeders and millers raised their bids. Wheat flour prices started rising after a period of decline, SovEcon said.

Grain shipments from southern Russia were slow last week due to logistical bottlenecks and inspections carried out by the animal and plant health watchdog Rosselkhoznadzor, IKAR said.

Sunseed offer prices rose by just 50 roubles to 20,675 roubles per tonne after most crushers had stopped raising bid prices and some even lowered them. Supply rose, SovEcon said.

It believes that sunseed prices may decline in the near future, but the decline may be short-lived, as sunoil prices are rising both in Russia and abroad.

Average crude sunoil prices rose by 2,000 roubles to 46,325 roubles per tonne, SovEcon said.

White sugar prices rose sharply last week on expectations of short supply in the near future and due to high international prices to 32,800 roubles per tonne from 30,000 roubles a week before and to $1,066 per tonne from $974 per tonne, IKAR said.

Source: Reuters | #grain | Comments: 0 Views: 48

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