Constanta Prices Surge as Ukrainian Wheat Export Flows Redirect

Ukrainian wheat prices have surged in recent weeks due to several factors. Purchase prices for second and third-class Ukrainian food wheat at the Romanian port of Constanta have increased by $7-10 per ton, reaching $245-255/ton on DAP terms, according to the 'Grain Exchange'. This rise is attributed to logistical difficulties, redirection of export flows, and a boost in world grain prices.

The Ukrainian quota for duty-free wheat supply to the European Union has been exhausted, leading to suspended purchases at the western border. As a result, some grain flows have shifted to Danube ports and Constanta, which remains an essential logistics hub for Ukrainian grain exports despite ongoing logistical challenges.

Delays in transportation due to low water levels, Russian attacks, and a queue of over 50 vessels near the Sulina Canal have increased costs. Additionally, world exchange quotations are on the rise, supply is limited, and importers are willing to compensate for higher logistical expenses.