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Export forecast increased: Russian wheat is more expensive than European and American.
Cereals
Groats
Stern
Wheat

Export forecast increased: Russian wheat is more expensive than European and American.

The forecast for Russian wheat export has been increased to 5 million tons. Prices for Russian wheat remain stable on the market, unlike competitors. The stable improvement of weather in the USA has a positive impact on the crop. Internal wheat prices throughout Russia are rising.

20 November 2024 20 November 2024

In November, the forecast for wheat exports has been increased from 4.6 million tons to 5 million tons, of which 2.5 million tons have already been shipped, according to the analytical center "Rusagrotrans". Last week, export prices for Russian wheat with a protein content of 12.5% for delivery in November remained around $226 per tonne FOB, and for delivery in December - $230 per tonne FOB. Prices for French and German wheat decreased by $12 to $226 and $238 respectively, while American wheat became cheaper by $11, to $247.

The wheat futures market initially declined due to the strengthening of the dollar and favorable weather in the Great Plains of the USA, but strengthened towards the end of the week. The dollar index reached a 13-month high, weakening the competitiveness of American exports, analysts note. Thanks to rains and unusually warm weather in the USA, fertilization of winter wheat continues to improve. As of November 17, the share of winter wheat in good and excellent condition increased from 44% to 49%. At the same time, rains resumed in France, which complicates the completion of winter wheat planting and corn harvesting.

Prices for wheat with 12.5% protein content in deep-water ports rose by 100 rubles, reaching 17.5-17.6 thousand rubles per ton without VAT. Prices for wheat in shallower waters remained at the level of 16.2 thousand rubles per ton. Last year, prices were 14.25 thousand rubles per ton in deep-water ports and 12.15 thousand rubles per ton in shallower waters, according to "Rusagrotrans" analysts. Prices CPT Novorossiysk with delivery by rail increased by 350 rubles, totaling 18.1-18.6 thousand rubles per ton.

On the domestic wheat market, prices continue to strengthen. In the South, prices for 4th grade wheat rose by 100 rubles and reached 15.4-15.7 thousand rubles per ton without VAT (EXW elevator), in the Center - by 650 rubles, to 15.5-15.7 thousand rubles per ton, in the Volga region - also by 650 rubles, to 15-15.5 thousand rubles per ton. In Siberia, procurement prices for 3rd grade wheat vary from 10 thousand rubles to 15 thousand rubles per ton depending on the region.

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