The fall of stock prices of wheat accelerated

a Sharp drop in U.S. stock markets at the end of last week led to lower prices for agricultural products, including wheat.

the Wheat exchange, the U.S. accelerated the drop in pressure disastrous weekly export sales and reduce anxiety for the fate of winter crops in the agricultural regions of the American Plains as a result of warming. The rapid strengthening of the dollar also contributed to lower prices.

the May wheat futures in the U.S. fell:

• by 5.69 $/t to 242,60 $/t for SRW soft winter-wheat in Chicago,
• by 6.89 $/t to 232,86 $/t for solid winter HRW wheat in Kansas city,
• by 4.32 $/t to 234,70 $/t on a firm spring HRS wheat in Minneapolis.

the Paris stock exchange ended the week down. In addition to the pressure of Chicago on quotes have influenced the lack of new procurement tenders from importers such as Egypt, Saudi Arabia and Algeria, which, according to the calculations of traders who already had the wheat for delivery in March, but expect lower prices.

Low activity of European traders also motivated by their desire to see the reaction of importing countries to increase export duties on Russian wheat from March 1, twice.

• the May futures for milling wheat on MATIF fell by 2 €/t to of 229.5 €/t or 277,1 $/t

the monitoring Data FranceAgriMer, according to which as of February 22 in good or excellent condition in France was 87% of winter wheat compared to 86% a week ago and 64% a year ago, increasing pressure on the prices of new crop wheat.

In Ukraine on the background of reduction of VAT rate on agricultural produce from 1 March, from 20% to 14% of exporters have reduced the procurement price of wheat at the port by 6% to 8600-8700 UAH/t or 270-273 $/t

This is somewhat disappointed manufacturers, which have kept sales even in the price level 9400-9500 UAH/ton (with VAT 20%) or 285-286 $/t in the port. But the decline in world wheat prices will increase pressure on prices in the physical markets.

Ukraine accelerates the export of wheat and shipped 305 thousand tons, but only in the season of 13.6 million tonnes, which is 17% below last year's pace. Until the end of the season, you can ship 4 million tons of wheat, the buyer will be hard to find because, after the imposition of duties on Russian wheat freight cost has doubled, which sharply reduced the competitiveness of the black sea wheat in comparison with the European one.