Panic buying of the products caused a rapid rise in wheat prices

the introduction of quarantine to combat Covid-19 in various countries of the world, people react in a panic of purchasing products, creating an artificial demand for cereals and pasta. Restriction of movement between countries complicates the logistics and may cause supply shortages.

However, a significant world wheat stocks and lower global demand amid prospects of a good harvest in the new season is not of concern regarding food security in the near future.

From March 20 to ensure the domestic consumption of Russia temporarily, yet for 10 days, banned the export of all types of cereals. Kazakhstan has restricted the export of certain types of food, in particular wheat flour, sunflower seeds and sunflower oil.

as a Result of excessive demand from the millers yesterday may futures on soft wheat in Chicago rose by 4.3%, not even considering the bearish fundamental factors: the decline in exports and the improvement of crops.

For the week, the United States reduced wheat exports by 25% to 349,3 thousand tons and since the beginning of the season exported 20 million tonnes, which is 9% ahead of last year's pace. 2 months till the end of the season, is unlikely to export USDA projected 27.2 million tons In China was sold 4 vessels of wheat: old crop 1 and 3 of the new.

According to the USDA, for the week, the number of winter wheat crops are in good or excellent condition, raised in Kansas by 2% to 48%, Texas 5% to 49% Oklahoma 11% to 77%, Colorado 9% to 55%.

the May wheat futures in the U.S.:

the

7.53 $/t to 179,86 $/t for solid winter HRW wheat in Kansas city

at 3.40 $/t to 194,83 $/t on a firm spring HRS wheat in Minneapolis.

• by 8.54 $/t to 206,68 $/t for SRW soft winter-wheat in Chicago

the price of wheat in Paris yesterday after Chicago rose to 2-month high. The market is supported by the Declaration of a new tender by Algeria and probably Morocco continue period, duty-free imports of soft wheat. Logistical problems in France have forced exporters to raise premiums.

the

• the May futures for milling wheat on MATIF rose by 5.25 €/t 196,5 up to €/t or 212,44 $/t

For the week, the EU exported 162.6 mln tonnes of wheat, and from the beginning of the season – 23.2 million tonnes, which is 72% higher than the pace last year.

Ukraine is also growing demand for wheat due to the shortage of offers from producers on the background of the necessity of fulfilling the traders export contracts.

the Purchase price of food wheat in the port increased by 3-4 $/t to 183 to 185 $/t or 6100-6200 UAH/t, but the delivery time is limited to 10-15 April.