Conflict Disrupts Global Wheat Exports as Canada and Kazakhstan Face Setbacks
The ongoing conflict between Ukraine and Russia is severely disrupting wheat exports due to bombing of ports and shipping routes. This has significant implications as both countries are among the world's largest wheat exporters.
Canada's wheat crop is also under threat from fungal diseases, which could further reduce global supplies. A wet spring followed by hot and humid weather created favorable conditions for disease, with a harvest season spanning August to October.
Kazakhstan's wheat harvest is expected to fall by 30% due to persistent heat and drought.
Despite these challenges, the Paris futures market showed mixed trends, with the price of wheat quoted at €223.25 per tonne on Tuesday, but declining to €228.00 on Friday. The December contract price rose to €235.75.