The decline in wheat prices stimulates demand from importers

wheat Markets this week will be under pressure from the increase of world supply and ending stocks, and uncertainty over demand as a result of the second wave of the pandemic Сovid-19.

For Russia, which collected the second record wheat crop, experts of Rusagrotrans, the increased the forecast of grain exports to 49-50 million tons and, in particular, wheat – to 38.5-39 million tonnes intentions of the Ministry of agriculture to maintain export quotas despite a good grain harvest support world prices.

Through high bid prices of Russian wheat, some importers have cancelled procurement tenders. So, the State Trading Corporation of Pakistan (TCP) cancelled its tender dated 23 September and planned until October 5 to hold a new tender for the purchase of 300 thousand tons of milling wheat with protein 10% and supply to January 15, 2021

Jordan on the tender 28 Sep bought 120 thousand tons of Romanian milling wheat with protein 12.5%, and for December delivery at a price 266,8 $/t C&F.

Thai TFMA has announced a tender for the purchase of 213 thousand tons of feed wheat for November-January, where an estimated traders win Australian wheat.

Turkish news Agency TMO until October 8, will hold a tender for the purchase of 135 thousand tonnes of food wheat from 16 October to 2 November. The growth rate of the Turkish Lira against the dollar reduces the interest of Turkey to the Russian wheat.

amid low demand bid prices of Russian wheat remained at the level of 228-235 $/t FOB, but tender in Turkey can support the quotations.

Today the US will publish the report on the wheat stocks as of 1 September, which traders expect a slight decline in the forecast of wheat production in the country, which will be an additional factor supporting prices.

on the Eve of the publication of the report, investors have been speculative sales, so wheat exchange yesterday finished trading in red zone.

December futures in the U.S. fell:

the

2.48 $/t to 174,90 $/t for solid winter HRW wheat in Kansas city

1,84 $/t to 192,72 $/t on a firm spring HRS wheat in Minneapolis.

• 0.28 $/t to 201,90 $/t for SRW soft winter-wheat in Chicago

On price impact forecasts of the long-awaited rain in Argentina, although now there is threat of frost. Weather forecasters promise that by the end of the year the country will remain humid weather that allows us to hope on getting a good crop of wheat.