Ukraine corn export prices hit seven-year high

KYIV: Ukrainian corn export prices have hit a seven-year high, supported by a jump in demand, Argentina's decision to suspend shipments and Russian plans to impose export duties on grains, analyst APK-Inform said on Saturday.

Asking prices have risen by $23-$26 per tonne so far in January, reaching a record $256-$264 per tonne FOB Black Sea. The current level is $6-$10 higher than the previous record registered in May 2014, the consultancy said in a report.

APK-Inform said earlier on Saturday that Ukrainian milling wheat export prices added $3 per tonne on Friday amid rising global prices after Russia said it would hike export taxes.

Russia - one of the world's biggest wheat suppliers - plans to impose the higher export levy from March 1, the economy minister said on Friday, in another bid to curb rising domestic food prices triggered by the COVID-19 crisis.

Russia also plans to set a barley and corn export tax at 10 euros per tonne and 25 euros per tonne, respectively, starting from March 15. Ukraine accounts for about 16% of global grain exports, and sold some 57 million tonnes of grain to foreign buyers in the 2019/20 season.

Its grain exports have fallen 18% to 27.2 million tonnes so far this season.

Traders have sold 12.7 million tonnes of wheat, 10.3 million tonnes of corn and 3.9 million tonnes of barley, economy ministry's data showed.

The government has said exports could sink to 44.18 million tonnes in the 2020/21 crop year because of a weaker harvest.