Atria Brokers experts explain why corn prices are falling and export demand for wheat is decreasing.

Atria Brokers broker Nataliya Levkonyuk told Latifundist.com about why large CIF/FOB contracts for Ukrainian wheat have almost disappeared and why corn prices fell from $211-212/t to $203-204/t over a few weeks. She explains this by problems with logistics, shelling of ports, high cost of road transport, and the strategy of large players to "sit out" the situation. Problems with rail transport greatly complicate exports. Previously, wagons from central Ukraine took 3-5 days to reach the ports, but now it can take up to 2-3 weeks, although there has been some improvement in recent days. Trucks reach the ports in 1-2 days, but they are difficult to find, since most of the transport is used in harvesting and processing. In addition, constant alarms, shelling, and lack of electricity create queues at the ports. All this has led to an increase in transportation costs from 1.5 UAH per ton-kilometer to 3-3.5 UAH. Moreover, many drivers refuse to go to the port. Previously, traders who ...