The purchase price of wheat at the tender in Egypt has increased by 3 38/ton since August 2

Yesterday, the Egyptian state operator GASC held a tender for the purchase of wheat for delivery on October 5-15, the purchase price of which increased by 3 38/ton compared to the previous auction on August 2 due to the rapid rise in the price of Black Sea wheat.

At the tender on August 2, against the background of a sharp decrease in the number of offers, GASC purchased only 60 thousand tons of Romanian flour wheat for delivery on September 24 – October 4 at a price of F 261.49/ton FOB or.293.74/ton CFR.

On August 18, 6 Wheat proposals were submitted for the tender: 6 two bids each from Romania, Ukraine and Russia, while 5 bids participated in the previous auction, and Ukrainian wheat was not offered at all. Romanian wheat was again the cheapest, both on the FOB and CFR basis, and the prices of Russian wheat were 2 20/ton higher than the cheapest offers and 4 40-50/ton higher than two weeks ago.

The following applications were submitted for the tender:

• 2 Romanian wheat at the price of F 294.99 and F 299 / ton FOB, which is 3 33.5 and та 35.14/ton higher than at the previous auction,
• 2 Russian wheat at the price of F 317 and F 318.55/ton FOB (+40 and + 50 $ / ton),
• 2 Ukrainian wheat at the price of F 299.95 and F 309/ton FOB (++33.5 and та 35.14/ton).

As a result, GASC purchased 180 thousand tons of Romanian and Ukrainian wheat for delivery on October 5-15 at an average price of F 296.65/ton FOB or C 331.58/ton CFR, which is відповідно 35.16/ton and.37.84/ton, respectively, higher than the purchase price at the previous tender.

The following batches were purchased at the tender:

• 60 thousand tons of Romanian wheat from Cofco at the price of F 294.99/ton FOB + 3 34.43 / ton freight = 3 329.42 / ton CFR,
• 60 thousand tons of Romanian wheat from Grain Export at the price of F 297/ton FOB + 3 34.43 / ton freight = 3 331.43 / ton CFR,
• Nibulon has 60 thousand tons of Ukrainian wheat at the price of F 297.95/ton FOB + 3 35.94/ton freight = 3 333.89/ton CFR.

It is worth noting that compared to the previous tender, the cost of freight also increased by 2 2-3/ton, while purchase prices for wheat increased by липня 64.77/ton FOB and C 66.57/ton C&F compared to the auction on July 14.  

In the current season, Egypt has already purchased 2.6 million tons of wheat out of the 13 million tons planned for import, and most of the volumes purchased by GASC at tenders are Romanian wheat.