Russian wheat export prices have increased recently, aligning with newly published indicative prices. Key highlights include:
Current Prices: The price for 12.5% protein Russian wheat scheduled for November delivery is now at $234 per metric ton, an increase of $4 from the previous week. Sovecon reports prices ranging from $234 to $237 per ton.
Indicative Prices: Russia’s Grain Exporters Union has set indicative prices for October at $240 per ton, rising to $245 in November and $250 in December.
Export Volumes: Despite a slight decrease in weekly grain exports to 1.01 million tons (down from 1.28 million), wheat exports remain robust, with estimates for October raised to a potential record of 4.8 million tons, surpassing last year’s record of 4.7 million tons.
Market Dynamics: The anticipated rise in prices could lead to higher export duties, incentivizing exporters to expedite sales to avoid increased taxes.
Weather Conditions: Favorable weather conditions are expected for winter crops in most regions, although some areas like Rostov may face challenges due to limited rainfall.
Overall, the combination of rising prices and strong export forecasts indicates a robust outlook for Russian wheat in the coming months.