IKAR in Mass Media

Russian grain prices fall on lack of export demand

02 июля 2011 года

MOSCOW, June 27 (Reuters) - Russian grain prices declined last week as grain traders suspended purchases or lowered bid prices after major buyer Egypt omitted Russian wheat at its latest tender, analysts said on Monday. Egypt's main state wheat buyer said last week it had postponed any purchase of Russian wheat until the Russian harvest was gathered in July and wanted to ensure future purchases met Egyptian conditions.The price for ordinary milling wheat with 11.5 percent protein content declined to $240-$245 per tonne (FOB Black Sea) from $280-$285 and to $115-$120 per tonne (FOB shallow water Azov Sea ports) from $230 and then to $115-$120 per tonne, the Institute for Agricultural Market Studies (IKAR) said.Feed barley shallow water prices declined to $210-$215 per tonne, it said in a weekly note.In Novorossiisk, CPT wheat prices declined to 6,000 roubles ($212) per tonne from 6,800 roubles as most exporters stopped buying grain a silos close to export ports were full, IKAR said, adding it expected a further price decline."If two weeks before in Novorossiisk buyers were ready to buy fourth-grade milling wheat at 7,000 roubles per tonne (CPT), last week bids were fewer and the price was named in the region of 6,000 roubles," SovEcon agricultural analysts said in a separate note.It said third-grade milling wheat lost 50 roubles last week, declining to 6,475 roubles per tonne EXW European Russia.Fourth-grade wheat fell 100 roubles to 6,325 roubles per tonne and fifth-grade feed wheat by 50 roubles to 5,675 roubles.SovEcon said that it believes Egypt will revise its policy and will restart buying Russian grain, while a decline in the international prices lowers the possibility of Russian export restrictions by the government."Therefore we do not expect big rises or declines on the Russian wheat market," SovEcon said.IKAR said crude sunoil price were flat in dollar terms at $1,409 per tonne, while prices in roubles declined slightly as some plants in southern Russia liquidated sunoil stocks awaiting the new winter rapeseed crop.Prices for winter rapeseeds are named at between 12,500 roubles and 16,000 roubles per tonne, while old crop sunseeds, if traded, are purchased at around 16,000 roubles, it said.White sugar prices rose following international prices. In Krasnodar, they rose to 30,000 roubles and $1,069 per tonne from 29,100 roubles $1032, IKAR said.

Source: Reuters | #grain | Comments: 0 Views: 41

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