Southern Brazil mills face challenges in the wheat market

Mills in southern Brazil, especially in Santa Catarina, are facing a challenging scenario due to low demand for flour, which has affected the dynamics of purchases and sales in the sector. In Santa Catarina, the market is clearly slow, with mills making purchases gradually and paying around R$1,350.00 CIF for deferred wheat. However, sellers are resisting this price range, waiting for more advantageous proposals. In Rio Grande do Sul, mills are taking advantage of the moment to secure stocks with a focus on purchases for January, although the local market is suffering from a shortage of sales directed to mills, forcing negotiations focused on the port. Prices fluctuate between R$1,220.00 and R$1,250.00, but liquidity for future offers remains low, with values indicated in the range of R$1,230.00. Furthermore, the increase in freight rates in the interior of the state, aggravated by the lack of returns from Rio Grande, has increased logistics costs. In Paraná, the rise in the ...