Russian Wheat Sent Lower By New Crop And Rouble Weakness

By Donna Ahern
Russian Wheat Sent Lower By New Crop And Rouble Weakness

Russian wheat export prices fell last week under pressure from the new crop, a weaker rouble and lower export tax, analysts said on Monday.

Sanctions-hit Russia reduced its grain export taxes sharply on 1 July to support shipments in the July-June marketing season.

Prices for the new wheat crop with 12.5% protein content and for supply from Black Sea ports fell by $17 to $358 a tonne free on board (FOB) at the end of last week, the IKAR agriculture consultancy said.

Sovecon, another consultancy, said wheat prices for supply in July and August were at $365-$370 a tonne vs $375-$385 a week ago.



Russia exported 340,000 tonnes of grain last week, compared with 250,000 tonnes a week earlier, Sovecon said, citing data from ports.

Wheat prices in the domestic market rose on higher demand from exporters, Sovecon said.

Some foreign traders started to conduct additional checks of farmers, probably to avoid buying any grain from Ukraine, it added.

Ukraine has accused Russia of stealing grain from territories that Russia's army has seized since 24 February Moscow denies this.

Read More: Food Prices Fall In June, Cereal Output Seen Slightly Higher, UN Agency Says

News by Reuters, edited by Donna Ahern, Checkout. For more Supply Chain stories, click here. Click subscribe to sign up for the Checkout print edition.

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