Wheat prices in Kazakhstan rise to record levels amid falling harvest

Published 2021년 9월 20일

Tridge summary

Unusually high prices for agricultural products, particularly milling wheat, persisted during the harvest season this September, due to reduced harvests in Kazakhstan and other exporting countries like Canada. This has led to record high prices for wheat, barley, flax, peas, and durum wheat. The increase in durum wheat prices was further driven by a low harvest in Canada, although this will be balanced by a good harvest in Russia. The high prices, caused by various factors including low yield, uncertainty in Afghanistan, and payment issues from Uzbekistan, result in negative profitability for farmers and raise concerns about the sustainability of farming enterprises.

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

Original content

Typically, during the harvest season, prices for agricultural products fall as significant volumes of new crops enter the markets. However, this did not happen this year, and in September prices were higher than in August. Traders say this is the first time they see such a situation. The reason was the decrease in the harvest not only in Kazakhstan, but also in other exporting countries. Therefore, if in August, milling wheat in Kazakhstan was sold at 90-95 thousand tenge / ton or $ 211-223 / ton, depending on the region, today prices have reached a record 110-115 thousand tenge / ton or $ 258-270 / ton. ... Prices for other agricultural products also rose. So, the Viterra company offers 107-112 thousand tenge / ton for wheat, for barley - from 95 thousand tenge / ton and more, flax - from 310 thousand tenge / ton, peas - from 135 thousand tenge / ton. The prices for durum wheat have grown the most - until recently, 210 thousand tenge / t or $ 493 / t were offered for durum, and ...

Source: Oilworld