Uneven conditions in the domestic market and strong dollar push wheat prices up.

The milling industry continues to acquire occasional lots of wheat and many processors already show difficulties in passing on the current high costs of cereal to its derivatives (flours and bran) at the consumption end.

In October the average value of wheat in the spot market (negotiations between companies) in Paraná was R$ 1,286.02 per ton, a significant increase of 11% compared to September and 54.5% above YoY, in nominal terms. For Rio Grande do Sul, the average was R$ 1,221.10 per ton, an increase of 1.9% compared to September and 63.6% compared to October last year.

It is assumed that the retraction of supply and active buyers coupled with the strong dollar drove the uptrending prices.