IKAR in Mass Media

Russian wheat export prices down last week, shipments fall

09 октября 2023 года

Oct 9 (Reuters) - Russian wheat export prices declined last week amid reduced demand from major importers and continuing unofficial restrictions on the minimum selling price, while аnalysts see a drop in supply volumes.

The price of 12.5%-protein Russian wheat scheduled for free-on-board (FOB) delivery in early November was $230 per metric ton last week, down $5 on a week before, the IKAR agriculture consultancy reported.

The Sovecon agriculture consultancy sees the price for this class of wheat at $238-242 per ton FOB, down $1 on a week before.

Russia exported 0.88 million tons of grain last week compared to 1.22 million tons a week earlier, including 0.85 million tons of wheat, compared with 1.04 million tons a week earlier, Sovecon wrote in its weekly note, citing port data.

The first estimate of wheat exports in October is 3.9-4.4 million tons compared with 4.5 million tons a year ago and 4.1 million tons on average. Wheat exports in September are assessed at 5.0 million tons.

"Outstanding wheat export sales continue to tank. Week on week they dropped by 1.4 million tons to 2.6 million tons. This is the lowest level since July 2023. We believe that it's mainly related to AgMin’s attempts to limit exports at levels below their price floor," Sovecon said.

The wheat harvest as of Oct. 5 totalled 88.3 million tons (versus 101.7 million tons а year earlier) from 25.8 million hectares (versus 28.2 million hectares), with an average yield of 3.42 tons per hectare (3.61 tons per hectare).

Sowing of winter grains was carried out on an area of 10.9 million hectares, up from 9.3 million hectares a year earlier, Sovecon wrote.

Russia's Agriculture Ministry last week raised its forecast for the 2023 harvest - to 135 million tons of grain, including 90 million tons of wheat.

IKAR said on Monday it had raised its forecasts for Russia's grain crop this year to 141.2 million metric tonnes from 140.0 million, raising its maize crop forecast to a record 16.0 million tons.

Other Russian data provided by Sovecon and IKAR:

 Product:              Most recent data:    Change from week
                                                     earlier
 - Domestic 3rd class      12,875 rbls/t         -200 rbls/t
 wheat, European part                     
 of Russia, excludes                      
 delivery (Sovecon)                       
 - Sunflower seeds         20,600 rbls/t         -325 rbls/t
 (Sovecon)                                
 - Domestic sunflower      75,850 rbls/t            0 rbls/t
 oil (Sovecon)                            
 - Domestic soybeans       33,200 rbls/t            0 rbls/t
 (Sovecon)                                
 - Export sunflower               $755/t                   0
 oil (IKAR)                               
 - White sugar,                $581.86/t              -26.39
 Russia's south                           
 (IKAR)

Source: Reuters | #grain | Comments: 0 Views: 12

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