Wheat prices started the week with rapid growth

On Monday, wheat prices on world stock exchanges rose rapidly on forecasts of a decline in the harvest in Canada, the United States and Russia. Against this background, the price of Black Sea wheat at the next tender in Egypt increased by another 1 14/ton and exceeded F 260/ton FOB.

Icarus agency lowered its forecast for the wheat harvest in Russia by 3 million tons to 78.5 million tons, while Rusagrotrans estimates it at 80.2 million tons. however, due to the lower-than-expected yield in the European part of the Russian Federation, the gross harvest may amount to only 79 million tons. the forecast for wheat exports from Russia was lowered to 35.3 million tons, which will be 2.3 million tons less than in 2020/21 MG.

On the Chicago Stock Exchange, August Black Sea wheat futures rose to 2 271/ton yesterday, and December – to.288.25/ton, adding 3 35/ton and. 43/ton for the month, respectively.

Wheat in the United States rose in price by 3.5-4% yesterday, although export inspections showed a decrease in weekly exports by 25% to 387.7 thousand tons. the volume of wheat tested for export in 2021/22 MG amounted to 3.77 million tons, which is 19% lower than the corresponding indicator last year.

September US futures rose:

• by 9 9.46 / ton to Чикаго 267.9/ton for soft winter SRW wheat in Chicago,
• by 1 11.11 / ton to H 258.3/ton for hard winter HRW wheat in Kansas City,
• by 6 6.61/ton to.338.8 / ton for hard spring HRS wheat in Minneapolis.

According to the NASS USDA report released after the end of trading, winter wheat is harvested on 91% of the area, and spring wheat – on 17% compared to 86% and 8%, respectively, on average over 5 years.

Due to precipitation in the southern Plains, the number of spring wheat crops in good or excellent condition for the week increased by 1% to 10% compared to last year's 73%.

• September wheat flour futures for MATIF rose by €5.25/ton to €228.5/ton, while the dollar price reached € 271.28 / ton due to the strengthening of the euro exchange rate.

Egypt has purchased 60 thousand tons of Romanian wheat, Pakistan – 200 thousand tons of wheat of any origin, and Algeria and Turkey are holding tenders for the purchase of food wheat. This supports prices for Black Sea wheat, which have already risen to F 260-265/ton FOB.

In Ukraine, prices for food wheat rose in the port to 2 233-235/ton or 7150-7200 UAH/ton, so producers stopped sales in anticipation of further price increases. Currently, 16.9 million tons of wheat with a yield of 4.45 t/ha have been harvested from 3.8 million hectares or 55% of the area in Ukraine, which confirms production forecasts of 30 million tons or higher, compared to 25.4 million tons last year.