Since last Thursday, the market has been dominated by the growth of hryvnia prices for food wheat due to higher prices by processing and export companies. Following the period under review prices demand increased on average by 50–100 USD/ton.
Processing companies, given the growing demand for finished products, tried to replenish grain stocks and raise prices in the absence of supply of wheat of the required quality. Prices of processing enterprises today are 4850–5800 UAH/ton. The maximum prices, given the competition with exporters, are most often voiced by processors in the southern regions, their prices reach 5300–5800 UAH/ton.
Prices in ports based on CPT supply are usually reviewed by companies that need to replenish grain stocks. Since last Thursday, hryvnia demand prices in ports have increased by an average of 200 UAH/ton. Today, the average demand price range of the CPT port is 6000–6250 UAH/ton and up to 189 USD/ton.
Sales activity is estimated to be low, as many sellers expect further price increases and restrain sales.
- The number of offers of food wheat will be low.
- Support for hryvnia prices in ports will be provided primarily by the devaluation of the hryvnia.
The low number of grain offers against the background of the devaluation of the hryvnia continues to support hryvnia prices, which since last Thursday have risen by an average of 50–100 UAH/ton. The main interest in procurement is still shown by livestock enterprises. The range of demand prices today is 5000–5600 UAH/ton.
Offers of feed wheat continue to enter the market in limited quantities.
Hryvnia prices in ports have increased by an average of 100 UAH/ton and amount to 5550–6050 UAH/ton. Currency prices for grain by traders are in the range of 174–185 USD/ton (CPT port).
- The devaluation of the hryvnia will continue to support hryvnia prices, especially against the background of rising foreign exchange demand.
During the reporting period, the feed barley market saw some strengthening of hryvnia prices, by an average of UAH 50 per ton, which was due to the low number of grain offers, as well as the preservation of the situation with the national currency.
Processing companies tended to raise minimum purchase prices. In general, the demand prices of enterprises did not exceed UAH 4600 per ton, including delivery.
In ports, the activity of purchasing activity has increased. Demand prices were voiced up to 5100 UAH/ton CPT. In turn, currency prices in ports often did not exceed 160 USD/ton (CPT port).
- A further decline in global demand for grain will continue to affect the level of currency and hryvnia prices.
Demand for corn remains high. This fact, as well as the weakening of the hryvnia, contribute to further growth of hryvnia prices. Thus, since last Thursday, demand prices have increased by an average of 50–70 UAH/ton and today reach 5200 UAH/ton.
The need for export companies to attract large volumes of grain contributed to an increase in prices in ports by an average of 100 UAH/ton. Hryvnia prices in ports are in the range of 4850–5250 UAH/ton depending on the port.
The activity of importers contributes to the strengthening of demand prices in ports to 150–164 USD/ton.
- If the interest in purchases from importers remains, prices will increase. At the same time, price support will continue to be provided by the limited supply and devaluation of the national currency.