India
Indian Flour Millers Consider It Necessary to Extend Wheat Export Ban (Mar 20)
The President of the Federation of Millers reported that India should continue the ban on wheat exports that has been in place since 2022 to ensure that domestic prices for grain fall and create sufficient stocks for consumers. There is no specific end date for the ban on Indian wheat exports. Government and industry sources mentioned it will be reviewed in April.
Unseasonal Rains and Hail Damage Wheat Crops in India (Mar 21)
In India, unseasonal rains and hailstorms damaged ripening and wheat crops in the Northern, Central, and Western plains, causing thousands of crop losses to farmers and raising the risk of further food price inflation.
Russia
The International Grains Council (IGC) has made the first forecast for grain harvest and trade in the new agricultural year (July 2023-June 2024). The Russian Federation will harvest 124.3 million tons of grain this year. The total wheat harvest will amount to 82.2M tons against 95.4M tons in the current agricultural year.
Export of Wheat From Russia From March 1 to 20 Increased by 2.3 Times (Mar 21)
From March 1 to 20, Russia shipped 2.706M tons of wheat for export, 2.3 times more than in 2022. Shipments of wheat grew 2.2 times, up to 4.2M tons. In the previous season, a total of 1.913M tons were exported in March.
Export Duty on Wheat From Russia Reduced by 0.1% From March 22 (Mar 22)
In Russia, the export duty on wheat has been reduced by 0.1% since March 22, to USD 68.94 (RUB 5,327.9) from USD 69.15 (RUB 5,344). The decrease was 0.1%. The duty has been reduced for the second week in a row, for the first time since January 25.
United States
Wheat and Corn Are Cheaper in the US After the Extension of the Grain Agreement (Mar 20)
The price of wheat decreased after the extension of the "grain agreement" for 120 days. Russia's invasion of Ukraine sent wheat futures soaring in the first half of 2022. The introduction of the Black Sea "grain initiative" ensured export flows and contributed to the reduction of food inflation.
Wheat and Corn in Chicago Ended the Week With Growth on Export Demand (Mar 20)
On Friday, March 17, 2023, Chicago Mercantile Exchange CBOT wheat futures increased on export demand. As a result of the trading day, CBOT May soft winter wheat in Chicago rose to USD 261.06/ton, KCBT May hard winter wheat futures in Kansas City stood at USD 307.08/ton, and May MGEX spring wheat futures increased to USD 316.27.
France
Worsening Forecast for EU’s Wheat and Barley Harvests (Mar 21)
EU wheat production in the MY 2023/24 will be 129.5M tonnes (129.7M tonnes expected in February), an increase of 3.5% more than production in the 2022/23 season with 125.1M tons. Despite the onset of rainfall in Western Europe and improved crop growth conditions, rainfall levels are insufficient to eliminate the risk of drought in the long term, particularly in France and Spain.
Australia
Trade of H2, APW1, and AGP1 Wheat Was Down on March 23, 2023 (Mar 24)
Overseas wheat markets were mixed overnight. While US wheat was flat, European wheat was slightly lower. The Australian wheat market was quiet on March 23, 2023. Due to internal conferences all day, two of the major purchasers did not present any bids. For the buyers still in the market bids were back around USD 6.70/MT on March 23, 2023, as the Australian market followed the drop in the overseas wheat markets. Domestically, H2 traded down USD 22.91/MT on W11, trading at USD 257.85/MT* on W12. APW1 was down WoW by USD 19.23/MT, trading at USD 254.84/MT* on W12, and AGP1 was down USD 9.36/MT WoW, currently trading at USD 248.15/MT*.
Brazil
Brazil Should Maintain Wheat Area Expansion in 2023 and Production May Exceed 12M Tons (Mar 24)
Brazil should continue expanding the area cultivated for wheat in 2023. With favorable weather conditions, Brazilian production could exceed 12M tons. The first survey of planting intentions for the 2023/24 wheat crop signals a new increase in area.
Indonesia
Indonesia Approved HB4 Wheat for Human and Animal Use (Mar 20)
Indonesia approved HB4 wheat for human and animal use and has joined the list of countries that endorses this technology, and it is one of the main importers of wheat globally and the main export destination for Argentine wheat since 2016, after Brazil. The announcement was made after Brazil approved the commercialization and production of HB4 wheat, further opening the world to this technology.
Kazakhstan
Kazakhstan Wheat Has Vague Prospects (Mar 22)
In the autumn of 2022, Kazakh farmers harvested a high grain crop and immediately faced logistical problems during its transportation both within Kazakhstan and in the export direction. As a result, a good half of the harvest remains in warehouses while the price of wheat declines.
Morocco
Wheat Stocks in Morocco Last Only Three Months (Mar 22)
The Finance Minister of Morocco reported that soft wheat stocks can only meet domestic demand for three months. In March 2022, wheat stocks lasted five months, and the Minister of Agriculture promised to create additional reserves.
Morocco Is the Largest Port for Exporting European Union Wheat for the 2022-2023 Season (Mar 25)
The state of Morocco has become the largest outlet for exporting wheat to the European Union for the season 2022/23 after sales to other outlets were disrupted as a result of renewed competition for Black Sea exports with the receding of the war.
Nigeria
Heavy Rainfall Threatens Wheat Farming in Katsina, Nigeria (Mar 26)
In Nigeria, an unexpected rainfall recorded last Tuesday has posed a threat to irrigation farmers in Katsina State, particularly wheat farmers. The rainfall lasted for about seven hours. Wheat farmers gearing for a bumper harvest have been seriously affected by the rain as the crop prefers cold-dry weather.
Paraguay
Wheat Exports Fell 11% Through February in Paraguay (Mar 20)
At the end of February, wheat exports remained below 30K tons, a decrease of 11% compared to the first two months of 2022. In terms of foreign exchange income, there was also a decrease of 7 %, motivated by low international prices, which did not help offset the lower volume.
South Africa
South Africa Wheat Production Expected to Decline by 5% In 2022/23 (Mar 22)
South Africa expects to produce 2.176M MT of wheat in 2022/23, a 5% decline from the 2.285M MT produced in the 2021/22 season. The area planted with wheat decreased by 8% from 523.5K hectares. As a net importer, South Africa expects to import 1.45M MT in the 2022/23 season.
Ukraine
Ukraine Black Sea Grain Deal Extended for 60 Days (Mar 20)
The Black Sea deal allowing the safe export of Ukrainian grain was renewed on Saturday for at least 60 days, half the intended period. After Russia warned that further extension beyond mid-May would depend on the removal of some Western sanctions. The pact was brokered with Russia and Ukraine by the United Nations and Turkey in July and renewed for 120 days in November.
Ukraine Delivered 500K Tons of Wheat to Starving Countries (Mar 21)
Ukraine sent 500K tons of humanitarian goods, primarily wheat, to starving countries. This humanitarian cargo includes 140K tons of wheat, which were shipped following the humanitarian program Grain from Ukraine. A ship carrying 30K tons of Ukrainian wheat arrived at the Kenyan port of Mombasa.
Vietnam
Wheat Imports in the First 2 Months of 2023 Increased Slightly (Mar 22)
The General Department of Customs of Vietnam reported that in February 2023, the whole country imported 384.07K tons of wheat, equivalent to USD 142.8M. The average price was USD 371.8/ton, a sharp increase of 62.4%.
