Egypt has stepped up the tender for procurement of wheat

Yesterday, the Egyptian GASC held another tender for purchase of wheat, taking advantage of a sharp decline in global prices amid growing suggestions the new harvest and increased production forecasts for Russia.

Last week the decline in global stock prices stopped rising prices of Russian wheat on the physical market, so in the previous GASC tender refused to buy expensive Russian wheat. The small batches of wheat, purchased in the last two tenders, traders expect a decrease in price before yesterday's trading and increasing the volume of purchases.

However, the prices of offers of Russian wheat, compared with last week rose by 0.2-3,58 $/ton to of 215.1-218,45 $/MT FOB, while Ukrainian wheat went up by 7.86-13,97 $/ton to of 215.1-218,45 $/t FOB.

In the end, GASC has purchased the tender 470 thousand tons of Russian and Ukrainian soft milling wheat with protein 12.5%, and supply from 1 to 10 September on the terms of payment for 180-day letter of credit at an average price of 215,41 $/t FOB or 228,49 $/t C&F, respectively, for 4 $/t FOB or 2,67 $/t C&F exceeds the purchase price of the previous auction last week where it was contracted 115 thousand tons of Ukrainian wheat.

the tender was purchased the next batch of Russian wheat:

the

60 kt in the company Posco for a price of 215.1 $/t FOB or 228,05 $/t CFR;

55 kt in the company Solaris at a price of 215.1 $/t FOB or 229 $/t CFR;

60 kt in the company GTCS for the price of 215.1 $/t FOB or 229,05 $/t CFR;

60 kt in the company's Grain Export for the price of 215.1 $/t FOB or 228,05 $/t CFR.

• 120 thousand tonnes of Solaris at a price of 215.1 $/t FOB or 228,05 $/t CFR;

And the party of Ukrainian wheat:

the

60 thousand tons of the company Dreyfus at the price of 215,12 $/t FOB or 228,87 $/t CFR.

• 60 kt from the company Nibulon at the price of 217,5 $/t FOB or 228,87 $/t CFR;

Egypt, the world's largest buyer of wheat, in MG 2020/21 imports, according to USDA estimates, nearly 13 million tons of wheat, half of which will be bought at GASC tenders.