Iran could collapse the price of wheat
agriculture Minister of Iran Ali Qanbari said that his country plans to the end of the season (i.e. until March 2017) to export to Asia, Europe and the Persian Gulf nearly 3 million tons of wheat.
the Minister said that "this year the country is experiencing an excess of grain, the granaries are already overflowing."
Within 10 days, the government should take a decision on the start of exports.
In 2016, Iran reaped record wheat crop of 14 million tons, which creates additional pressure on world prices.
the Market for U.S. wheat began the week with a fall. Investors are reminded of the large amounts of the world supply of grain. Further pressure on prices expectations of the November forecast balance USDA due out on Wednesday and will probably be bearish in nature.
Prices of December wheat futures in the U.S. fell:
- 1.56 $/tonne to 150,65 $/tones of soft wheat SRW in Chicago
- 0.55 $/tonne to 150,65 $/tone for hard wheat HRW in Kansas city
- by 1.38 $/tonne to 186,10 $/tone for hard spring wheat HRS in Minneapolis.
On the stock exchange MATIF wheat quotations fell to 160,25 € /t or 177,01 $/ton.
On the basis of CPT-port Ukrainian wheat still remains at the level of:
- 2 KL - 160-163 $/ton or 4750-4800 UAH/ton,
- 3 KL - 156-160 $/ton or 4650-4750 UAH/ton,
- feed - 145-149 $/ton or 4350-4550 UAH/ton.