Main points
- Prices for food wheat in Ukraine are increasing due to increased procurement and reduced competition in foreign markets.
- As of February 12, purchase prices at the ports of Greater Odessa and Danube increased by 1-2 US dollars per ton compared to last week.
Wheat is getting more expensive / Photo Pixabay
The Ukrainian food wheat market continues to show an upward price trend. Experts attribute this to increased purchases and reduced competition on foreign markets.
Wheat export value increases
According to APK-Inform, further growth in prices for food wheat is being recorded on the export market of Ukraine. Prices have been increasing since the beginning of this week.
The upward dynamics are formed by several factors at once. In particular, exporters have intensified purchases against the background of restrained supply from agricultural producers. Additional support for prices is provided by the growth of quotations on the world market, as well as reduced competition in key sales areas due to the reduction in Russian wheat exports. Domestic demand is also strengthening due to competition between flour mills and traders.
Open Agri Club is your reliable partner in agribusiness. Participants receive financing for the sowing campaign, three days for application review. And also – free soil analysis, fertilizers at special prices, agronomist consultations. Everything you need for a successful season.
As of February 12, the asking prices in the ports of Greater Odessa range from 211 to 219 USD per ton on CPT-port terms. In the ports of the Danube, the purchase prices are announced in the range from 209 to 217 USD per ton on the same terms. This is 1 to 2 USD per ton higher than at the end of last week.
At the same time, analysts note that the current price increase has not yet stimulated farmers to sell grain more actively, so the supply on the market remains limited.
Ukraine maintains leadership in the corn spot market: what contributes to this?
-
Ukraine and the USA remain the main suppliers of corn to the world market, with Ukraine actively operating in the spot segment.
-
Delays in sowing in South America and weather risks are contributing to increased demand for Ukrainian grain, which could increase prices to $220-235 per ton.