Kazakhstan: Export price of 4th grade wheat rose to $175 per ton

Published Nov 21, 2024

Tridge summary

The Food Corporation has announced plans to buy grain directly from farmers to maintain a fair price, resulting in a market surge. Uzbek buyers have increased their offer price for grade 4 wheat to $175 per ton, but Kazakhstani farmers are withholding their grain in anticipation of higher prices. The Food Corporation is offering varying prices for different wheat grades and limited supply is further driving demand and price growth. Globally, wheat prices are also on the rise, with December futures on the US exchange reaching $5.54 per bushel, up 0.32% from the previous week.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

At the beginning of this week, the Food Corporation announced plans to begin direct purchase of grain to maintain an acceptable price level for farmers. The market responded to this decision with growth. In particular, if last week Uzbek buyers offered $160-165 per ton for grade 4 wheat with 22% gluten, at the moment they are ready to give $175 (DAP Saryagash). However, Kazakhstani farmers are in no hurry to sell grain, waiting for the final formation of a new price level on the domestic market. Limited supply also stimulates demand in the market and also leads to price growth. Let us recall that the Food Corporation offers 65 thousand tenge (price with VAT) for grade 4 wheat with gluten +21%, with gluten +18% - 65 thousand tenge. For grade 3 wheat, depending on quality, prices are set at 75 to 90 ...

Source: Zol