Andrey Sizov
13.09.2024
Wheat prices declined on Thursday. The December SRW wheat contract closed at $5.78/bu ($213/mt, -0.1% compared to Wednesday). The December HRW wheat contract in Kansas fell to $5.86/bu ($215/mt, -0.3%). The December Euronext wheat contract closed at €222.75/mt ($247/mt, -0.1%). The December corn contract rose to $4.06/bu ($160/mt, +0.3%).
According to market sources, GASC purchased 430,000 mt of Russian wheat for October delivery through a private deal. The wheat was bought from the Russian trader OZK via an intermediary at around $233/mt.
In the updated WASDE report, the USDA lowered its forecast for global wheat production in 2024/25 by 1.4 million mt to 796.9 million mt. Global consumption was raised by 0.9 million mt to 804.9 million mt, and the forecast for global wheat exports increased by 1.7 million mt to 216.5 million mt. The stock estimate rose by 0.6 million mt to 257.2 million mt. Russian wheat production and export estimates remained unchanged at 83 million mt and 48 million mt, respectively. US wheat production and export forecasts also stayed at 53.9 million mt and 22.5 million mt.
The USDA lowered its forecast for Russia’s 2024/25 corn production by 0.6 million mt to 13.5 million mt, while the estimate for Ukraine’s corn production remained at 27.2 million mt.
Strategie Grains lowered its forecast for EU corn production in 2024/25 to 57.9 million mt from 60 million mt, marking the third lowest output in the past decade due to reduced yields in Central Europe, Romania, and Bulgaria. The soft wheat production forecast in the EU was also cut to 114.4 million mt from 116.5 million mt.
On September 12, Jordan’s Ministry of Industry and Trade canceled a tender to purchase 120,000 mt of milling wheat of unspecified origin, according to European traders. The next tender for the same amount will take place on September 19.
As of September 12, Kazakhstan harvested 8 million mt of grain with an average yield of 1.47 mt/ha. Wheat production totaled 5.4 million mt with an average yield of 1.42 mt/ha.
