Homepage  Homepage     Search on site  Search on site     To write the letter  To write the letter     Site map  Site map
Agro Perspectiva
We are on: 



Home > News

Global wheat prices on the decline as fears for Russian export ease

06.08.2012 10:19 "Agro Perspectiva" (Kyiv) Global wheat prices slid back this week, after Russian authorities asserted the country would maintain an unspecified exportable grain surplus. The remarks followed fresh wheat crop estimates, signaling the supply could hit 50 million tons this year. The figure represents an upgrade from an earlier forecast of 46–49 million tons. The latest data supports the stance of Deputy Prime Minister Arkady Dvorkovich, head of industry and commodity producers, who expressed confidence that Russia has no grounds to ban grain exports this year due to poor weather conditions in some parts of the country. On Friday wheat futures trading was mixed, demonstrating that the market was still clouded by concerns of the potential harvest losses driven by drought in the US and Russia. Reuters Africa reported that benchmark November milling wheat was down 0.1% at 256.25 euros a ton. Despite optimistic comments from officials, fear that Russia may impose export restrictions on grain continues to hang over the market. Investors worry that the government may put a ban on shipments at the first premonition of worsening weather conditions in the countrys southern regions. Simultaneously a glaring shortage of stock has become evident in the Volga region, as the harvest outlook for Urals and Siberia continues to remain relatively bleak. SovEcon agricultural consultancy released a report on Friday pointing out that the focus should shift from the southern part of Russia, where the harvesting season is nearing ending to the Urals and Siberia. Both of the regions show weak results, lagging behind figures from 2010 and 2011. Additionally, even if Russia sticks to its current export plan the projected figures are still much lower than the past years. The Institute for Agriculture Market Studies (IKAR) reported that the country aims to ship between 13.5–13.8 million tons of wheat for the 2012–2013 season. The estimate highlights a substantial drop from 2011–2012 period, when Russia exported 21 million tons. On Tuesday, Agriculture Minister Nikolai Fyodorov confirmed that Russia would harvest 10–15% less grain this year, than in 2011 due to unfavorable weather conditions. The official stated that Russias grain production would reach only 80–85 million tons in 2012, compared with 94.2 million a year earlier. Some experts including Alexey Evstratenkov, equity research analyst atMoscow-based ATON, were expecting crop forecast cuts. Over the phone Evstratenkov said, «the Agriculture Ministry has talked about the possible reduction of the harvest this year long before the announcement on Tuesday. So a 10–15% downgrade of the harvest this year should not come as a surprise to the market.» The expert also brushed off the possibility of shipment restrictions this year, unless the situation worsened dramatically. «With the current prediction for the harvest there shouldnt be a ban, as according to the Ministry of Agriculture and RosStat, Russia internally consumes around 60–65 million tons of grain. While currently the prediction for the harvest is around 75–80 million tons, leaving the country with 10–15 million tons of exportable grain surplus.»

Voice of Russia Radio

< Azarov: FTA agreement with CIS in line with Ukraine's interests All news for
Azarov: Ukraine's economy increased by 12.5% for two years >

16:00 Economy Ministry estimates decline of Ukraine's GDP in H1 at 6.5%, in Q2 at 11%
14:25 Ukraine's forex reserves 1% up in July NBU
14:15 MoAFW estimates total area sown through July 24, 2020 at 79.99 million hectares
15:10 Global food prices rise in July
10:45 Manitou. H1 20 net sales of 762m
23:00 In 2019, the value of U.S. fresh fruit and vegetable exports to the world reached $7.1 billion
19:15 NBU estimates GDP fall in Q2 2020 at 11%
20:00 IKEA Foundation contributes $3.5 million to support FAO's work with refugees and host communities in eastern Africa
16:20 Private Exporters Report Sales Activity for China and Unknown Destinations
16:15 FAO unveils platform to help accelerate action on reducing food loss and waste
15:50 CNH Industrial reported consolidated revenues of $5.6 billion, net income of $361 million and adjusted net loss of $85 million
16:45 Govt approves macroeconomic forecast with 4.6% GDP growth in 2021
13:35 BASF Group: EBIT before special items declines in second quarter due to weaker demand as a result of the corona pandemic
16:35 The renaissance of industrial hemp in North America: How New Holland supports an evolving industry
17:00 The European Union cheese export forecast for 2020 is revised up by 3 percent to 925,000 tons
13:30 Ukraine placing 2033 eurobonds for $2 bln at 7.253%
10:17 EBRD supports Ukraines Nibulon Group
20:30 United Kingdom supports FAO's desert locust-fighting efforts with £ 17 million contribution
14:50 New Zealand. The milk production forecast for 2020 is slightly lowered
09:50 Cargill commits to restoring 600 billion liters of water by 2030
13:34 Saudi barley import tenders for July-September 2020 - 1.68 million MT
15:45 Nufarm announces changes to global manufacturing footprint
13:05 Kernel oil-extraction plants processed 916 thousand tons of sunflower seeds in Q4 FY2020
13:05 Yara. Second-quarter operating income was USD 335 million
11:26 Bulgarias 2019 broiler production expanded by two percent over 2018
08:32 Rapeseed. Results of the 2019/20 season
21:15 Export of casein from Ukraine in the 1st half of 2020 - 2.8 thousand tons
15:00 AGCO Announces Quarterly Dividend
13:05 Cargills newest addition to sweetener portfolio offers food and beverage manufactures label-friendly 30% sugar reduction
11:45 Olam prices US$50 million US private placement
21:15 FAO launches the new COVID-19 Response and Recovery Programme outlining seven key priority areas
17:05 Money supply in Ukraine 2.2% up in June
09:00 Philippine Imports of Milling Wheat Surge While Duties Implemented on Turkish Flour
17:15 BASF Group: operating result in the second quarter of 2020 above market expectations
13:25 In the 2019/2020 port NIKA-TERA handled 6.4 million tons of agricultural cargo
10:00 FAO and Rabobank's new partnership focuses on helping make food systems more sustainable, including through innovative investments
18:25 Director-General proposes new structure to make FAO agile and efficient
17:40 FAO welcomes additional 15 million from the European Union to fight Desert Locusts and their impacts on food security
17:25 Economy ministry estimates Ukraine's GDP fall at 5.9% in Jan-May
13:15 Economy ministry signs memo with grain market players for agreeing on export volumes, not for limiting exports minister
22:40 Refinancing rate could fall lower than inflation rate economy minister
12:10 BASF invests in next-generation farming for livestock producers with Cloudfarms digital platform solution
17:30 Rada with 286 votes backs resignation of NBU governor Smolii
16:45 Rada with 226 votes dismisses head of Antimonopoly Committee Yuriy Terentyev
11:30 Burger King, Cargill and World Wildlife Fund work to mitigate effects of climate change with new grassland restoration project
14:10 Record global cereal production to boost stocks
13:45 Global food commodity prices rebound in June
13:30 EBRD providing 7 million to Grain Alliance group
23:40 More Alcohol at Wholesale Prices for British Columbia Restaurants and Bars
22:45 Burger King, Cargill and World Wildlife Fund work to mitigate effects of climate change with new grassland restoration project

Also available: 

Agrarian Week in digital


NewsNews - News - News - News - News - News
BriefWeekly Reports - Free article
SubscriptionTariff - News&Reports
AdvertisingMagazine - Site
ConferencesForum AGRO-2013 - DAIRY WORLD-2008 - FERTILIZERS-2010
For our clientsAgroNewsDaily - Ukrainian Grain&Oilseed Market - Fertilizers - Milk Monthly - Milk Weekly
About usAbout project - Contact
2002 -2020 © Agrarika, ltd.
tel.: +380 44 4868119; +380 44 5934540
e-mail: client@agroperspectiva.com