Ukraine wheat export prices down amid fall in Russian prices, crop outlook

KYIV: Ukrainian wheat export prices have decreased by a further $7 a tonne over the past week amid a downward trend in Russian export prices and a positive outlook for the 2021 wheat harvest, APK-Inform agriculture consultancy said on Sunday.

The Ukrainian government has said good weather is likely to help farmers increase their grain crop to at least 75 million tonnes this year from about 65 million tonnes in 2020.

Bid prices for high-quality soft milling wheat decreased by $7 to $232-$237 a tonne FOB Black Sea port, APK-Inform said.

Feed wheat also fell by $7 a tonne to $228-$233 FOB Black Sea.

Ukraine sold about 57 million tonnes of grain to foreign buyers in the 2019/20 season, while the government has said exports could decline to 45.7 million tonnes in 2020/21 because of a weaker harvest.

Ukraine’s grain exports have fallen by almost 23% to 36.5 million tonnes so far this season, which runs from July 2020 to June 2021, economy ministry data showed on Friday.

Traders exported 14.5 million tonnes of wheat, 17.3 million tonnes of corn and 4.1 million tonnes of barley, it said.

Traders and officials said last week that escalating tensions on Ukraine’s eastern border with Russia had not yet affected domestic grain exports and prices.

APK-Inform also said corn export prices were flat over the week at $252-$258 FOB, while bid prices for Ukrainian-origin barley decreased by $8 and stood at $227 to $235 per tonne FOB Black Sea.—Reuters