Export prices for Russian wheat have reached their highest level since August 2012, TASS reports with reference to the Sovekon analytical company.
According to experts, the price of wheat with a protein content of 12.5% last week rose to $ 312 per ton on FOB terms (the seller fulfills its obligations when the cargo crosses the ship at the port of loading). Sovekon linked the record price rise to limited supply in the domestic market and a strong ruble, predicting a relatively stable situation on the Russian wheat market in the short term.
“In general, the activity on the grain market is low. Farmers sold part of their harvest to free up warehouses and replenish working capital, some of the processors replenished stocks. Agricultural producers are currently engaged in harvesting late crops and sowing winter crops and have again reduced the pace of sales, ”the review notes.
The export duty, which is calculated on a weekly basis, for the period from October 13 to October 19, will rise to $ 58.7 from $ 57.8 per ton, according to the Ministry of Agriculture. The price of $ 283.9 per tonne, from which the duty is calculated, remains at a lower level than the current FOB price.
Sovecon analysts also lowered the forecast for the wheat harvest in the country in 2021 by 0.1 million tons – to 75.5 million tons due to an increase in the share of unharvested wheat. The Ministry of Agriculture expects that 127.4 million tons of grain will be harvested in Russia this year, including 81 million tons of wheat.
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