MOSCOW: Russian wheat export prices fell last week, following the global trend, amid reports of a likely resumption of ships leaving the Sea of Azov, as well as a bumper harvest in the Southern Hemisphere, analysts say.
Reuters sources reported early last week that Russian ships carrying grain are being allowed to leave the Sea of Azov, where shipping had been completely restricted since 10 July
Consultancy IKAR said that, by the end of last week, export prices for wheat with 12.5 percent protein content shipped from the Russian ports of Vysotsk and Ust-Luga were at USD260 a metric ton free on board (FOB) for delivery in December, down USD4 from the previous week
Sovecon estimates that wheat of this grade, shipped via the Baltic Sea, is priced at USD261 a ton, USD9 lower than a week earlier
Russia is increasing shipments via alternative routes, though export flows are still experiencing significant disruption
A preliminary estimate by Rusagrotrans put wheat exports for this season (July–October) at 10.3 million tons, with the Baltic ports’ share potentially reaching 65 percent. October wheat exports were estimated at 3 million tons and projected to beat that in November
IKAR raised its estimate for October wheat exports to more than 3 million tons, up from 2.8 million to 3.0 million tons a week earlier, adding that November exports could exceed 3 million tons SovEcon raised its estimate for October wheat exports by 0.1 million tons to 2.9 million tons.
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