2023-08-16 09:49:55
For wheat producers, it will be terrible if there is no export of the grain, because the price will fall further. This was stated by the president of the BNR Sofia Commodity Exchange and CEO Vasil Simov.
He said this year’s wheat crop will exceed 6 million tons. There are no final figures from the Ministry of Agriculture on production yet, but the result is expected to be announced soon.
“The harvest of wheat this year will be sufficient to feed Bulgarians, and perhaps 2/3 will be for export.”
Vasil Simov also said that the war in Ukraine has changed the traditions of grain producers storing production in anticipation of a better price. In the spring and summer of last year, the grains prices have reached very high values for fear that the world will not be able to feed itself due to the suspension of Ukrainian exports. Those who have sold their products by September 2022 have made good money. And those who kept the goods lost because of the long and continuing decline in prices.
IN currently the price per ton is around 270 dollars, while last year it was over 340 dollars, but there are higher costs for electricity, transport costs, Simov said. The chairman emphasized the great competition of producers in the Black Sea basin.
“Our opportunities to export wheat are traditional – the countries of North Africa, the Middle East, where transport costs are low. When the tenders are held, Russian, Romanian, and Ukrainian companies appear at them and they export, but we do not manage to qualify with good offers.”
He emphasized that the price of sunflower is holding, the harvest will be like last year and there is no reason to expect an increase in the price of oil. The price of sugar will remain unchanged.
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