Grain prices in Kazakhstan: an increase in the price of 3rd grade wheat is expected, while a decrease is expected for the 4th and 5th grades; demand for non-class wheat is growing.

Recently, Kazakh analysts presented a new report on the state of the grain market. The information indicates that the market has not yet reacted to the prices set by the Prodcorporation, which are considered quite high. However, experts recommend holding on to 3rd grade wheat as its price is expected to increase. It is also noted an increased demand for non-class wheat, according to the agency APK News.

 

According to the research bureau "Grain and Oilseeds. Kazakhstan", in the last week, the price of 3rd grade wheat with protein content of 28+ decreased by 3 thousand tenge per ton, averaging 108 thousand tenge with VAT from the elevator as of September 23. The price of wheat with protein content of 25 and 23 has not changed in the last 7 days, standing at 87 and 80 thousand tenge respectively.

 

Analysts recommend not rushing to sell grain of this category and suspending trading until more favorable prices are expected.

 

The price of 4th grade wheat fell by 2 thousand tenge per ton over the week and currently stands at 72 thousand tenge. The price of 5th grade wheat dropped by 4 thousand tenge over the week and currently averages 59 thousand tenge. Experts suggest selling this product without expecting price increases.

 

The price of barley has decreased to 50 thousand tenge. Experts say it can be sold as needed.

 

The price of durum has not changed over the past week and ranges from 119 to 131 thousand tenge depending on the characteristics. Analysts recommend holding on to it anticipating price increases.

 

It is difficult to assess how the market reacted to Prodcorporation's prices as trading has been focused on the general market. Some regions of Kazakhstan have changed their product structure, leading to a drop in prices for high-protein and lower quality grains.

 

At the same time, there is a demand for non-class wheat. Naturally, the volume is not as large as a year ago, but it exists. Prices are starting from 43 thousand tenge.

 

According to official data, Kazakh farmers have harvested about 70% of the areas, collecting more than 17 million tons of grain crops. It is forecasted that this season the country will harvest 20 million tons of grain.