Egyptian GASC could not reduce the price of wheat purchase tender
At yesterday's tender, the Egyptian GASC bought 175 TMT of Russian milling wheat with protein 12,5% delivery 20-31 January at an average price of 261.5 $/t FOB or 275,5 $/t CFR, which corresponds to the purchase price of the previous trading session on 5 November, when it was acquired 300 thousand tons of Russian wheat at a price of 261,3 $/t FOB and freight rate of $14/t = 275,3 $/t C&F.
a Sharp drop in wheat prices on the US stock exchanges has not led to lower prices of offers European and black sea wheat, so GASC bought the cheapest of the proposed party.
For the tender were submitted 12 proposals, including 8 Russian, 2 Ukrainian and one Romanian and French wheat. The lowest price of 261 $/MT FOB small Russian wheat, and the highest 270,07 $/MT FOB Ukrainian, whereas Romanian offered in 268,79 $/t FOB and French at 269,75 $/t FOB.
In the end, GASC purchased
the
60 kt in the company Posco for a price of 262,35 $/t FOB and freight rate of 12.80 $/t = 275,15 $/t C&F
60 kt in the company Agro AST for the price 262,60 $/t FOB and freight rate of 12.80 $/t = 275,40 $/t C&F.
- 55 kt in the company GTCS for the price of 261.00 $/t FOB and freight rate 13,80 $/t = 274,80 $/t C&F
While the US was celebrating Thanksgiving, the December futures of French wheat grown with the support of the speculators who played the previous fall, and an active export demand, particularly from China.
the
- December futures for milling wheat on MATIF rose by 0.5 €/t to 211,5 €/t or 251,95 $/t
as a Result of the strengthening of the Euro against the dollar to 1,1924 $/€ price of European wheat on the world market rose to 260-265 $/t FOB, which impairs their competitiveness, especially against the background of reduction of prices of offers of Argentine and Australian wheat.
In the markets of North Africa and the Middle East the cheapest and demand is Russian wheat, while Asian buyers have shifted to the purchase of Australian wheat.
