MOSCOW: Russian export prices for the summer’s new wheat crop fell slightly last week following an improved outlook for the upcoming harvest, analysts said on Tuesday.
Prices for new-crop Russian wheat with 12.5% protein loading from Black Sea ports and for supply in July were $255 a tonne free on board (FOB) at the end of last week, down $1 from the previous week, the IKAR agriculture consultancy said in a note.
Russia’s wheat export tax, which Moscow started setting each week from June, is gradually rising but remains low compared with the level in May. This is expected to support Russian exports in June.
Sovecon, another consultancy, raised its forecast for Russia’s 2021 wheat crop by 1.5 million tonnes to 82.4 million tonnes last week after rains in May improved the condition of winter wheat in Russia’s south, the largest wheat producing and exporting region.
Rains are expected to continue in Russia’s southern, central and Volga regions this week, Sovecon said in a note.
“Southern farmers hope to see fewer rains during the next few weeks as this could substantially worsen the quality of the new crop in terms of protein and gluten content,” it added.
Comments
Comments are closed for this article.