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Russian wheat prices up

Reuters, 03.12.20


MOSCOW: Russian wheat export prices rose last week amid debate between traders and domestic consumers about the proposed introduction of a grain export quota, analysts said on Monday. Russia, one of the world's largest wheat exporters, is preparing to impose the quota to stabilise its domestic market after recent price rises, an idea supported by the agriculture ministry and traders.

Some livestock consumers are also calling for an export tariff. Russian wheat with 12.5% protein loading from Black Sea ports for supply in December was at $254 a tonne on a free-on-board (FOB) basis at the end of last week, up $2 from the week before, the IKAR agriculture consultancy said in a note.

Sovecon, another agriculture consultancy in Moscow, said wheat rose by $2 to $255, while barley rose by $1 to $216 a tonne. Domestic wheat prices fell slightly as demand from flour millers declined. Domestic processors will soon start accumulating stockpiles ahead of the long New Year holiday, Sovecon said. Weather conditions for Russia's winter grain sowings improved last week due to good precipitation in parts of the southern, Volga and central regions of the country, Sovecon said.



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