Turkey's Black Sea Plan Sparks Wheat Price Decline

CBOT wheat futures declined on Monday after Turkey announced a plan to enable safe grain passage through the Black Sea. The country is in discussions with both Russia and Ukraine about the proposal.

Turkish Foreign Minister Hakan Fidan stated that they have prepared a plan and are in contact with both sides regarding this plan. He added, 'If the necessary conditions emerge, we are working in particular to achieve another agreement similar to the grain deal.'

The decline in wheat futures came after prices reached three-year highs in the previous session.

Wheat futures had surged last week due to reports that Russia could increase missile strikes on Ukraine, reducing the likelihood of resumed grain shipments from both Russia and Ukraine.

Traders remain concerned about the possibility of extended disruptions to Russian and Ukrainian grain exports from the Black Sea region. Some Russian grain exporters are redirecting shipments to the Baltic Sea following Ukrainian drone attacks in the Black Sea and the Sea of Azov, according to traders and analysts.