Ukrainian Wheat Prices Climb Amid Limited Supply

Prices for food wheat in Ukrainian Danube ports have seen an increase this week, according to APK-Inform. The bid prices are being supported by a limited supply of the crop from farmers, prompting some companies to raise their purchase prices to cover previously contracted positions.

However, despite the slight price hike, farmers remain cautious and are not yet encouraged to sell. They continue to take a wait-and-see approach due to prices still being below profitable levels.

The increase in bid prices is also hindered by ongoing difficulties in moving grain out of the ports, caused by continued Russian attacks on port and railway infrastructure, low water levels, and limited throughput capacity on the Danube.

As of August 12, bid prices for Class 2 and Class 3 food wheat were at $166-175 per ton and $165-173 per ton CPT-port, respectively. This is a marginal increase of $1-4 per ton compared to last week's end.