Despite the decrease in the offer prices, the Egyptian GASC canceled the tender for the purchase of wheat

On March 7, the Egyptian GASC held an international tender for the purchase of wheat with delivery on May 1-10, for which applications were submitted at a lower price than in previous auctions. But in the end the tender was cancelled.

The purchase price at the previous tender was $30.5/t lower than at the auction on January 17, primarily due to cheap offers of Ukrainian wheat at a price of $222 (229.75 at the previous auction) $/t FOB with payment in 180 days and 229, 9 (244.75) $/t FOB with payment of 270 days. But Ukrainian wheat did not participate in yesterday's tender, and the cheapest offer was a lot of Bulgarian wheat at a price of $225.7/t FOB.

The following proposals were submitted to the tender:

• 14 (21 at previous auctions) batches of Russian wheat at a price of $235 (245)/t FOB with payment in 180 days and $260 (265)/t FOB with payment in 270 days,
• 4 (4) batches of French wheat at a price of $226-230 (240.86-246) $/t FOB with payment 180 days and $231-243.5 (248.86-256) $/t FOB with payment 270 days,
• 6 (4) batches of Romanian wheat at a price of $232.5-236 (236.5-244.86) $/t FOB with payment 180 days and $238-260 (241.5-252.86) $/t FOB with payment 270 days,
• 3 (2) batches of Bulgarian wheat at the price of $225.77-240 (238-250) $/t FOB with payment 180 days and $233.77-270 (253-275) $/t FOB with payment 270 days.

All offers of Russian wheat had the same price (as in all the last 6 months), which, compared to previous auctions, decreased by $10/t.

We will remind that at the previous tender, GASC purchased 120,000 tons of Ukrainian wheat at a price of $218.1/t FOB + $36.9/t freight = $255/t C&F and 60,000 tons of Romanian wheat at a price of $237.4/t FOB + $17.6/t freight = $255/t C&F payable 270 days after opening of L/C at an average price of $255/t C&F.

Even earlier, GASC purchased at tenders:

• January 17 – 360,000 tons of food wheat for delivery on March 15-30 at an average price of $285.48/t C&F,
• January 9 – 420,000 tons of food (mainly Russian) wheat with delivery from February 29 to March 11 at an average price of $285.05/t C&F and payment 270 days after the opening of the letter of credit,
• December 19 – 480 thousand tons of Russian wheat for delivery in February at a price of $265/t FOB + $22.4/t freight = $287.4/t C&F with payment in 270 days,
• December 5 – 180,000 tons of wheat at a price of $275.17/t C&F.