SovEcon: Russia’s wheat exports may hit record in July

MOSCOW, Jul 11 (PRIME) – Russia is likely to export a record 3.7–4.1 million tonnes of wheat in July compared to an average of 2.8 million tonnes for the month, agricultural market research agency SovEcon said on Tuesday.

“Russian wheat July exports are estimated at 3.7–4.1 million tonnes, up from the average figure of 2.8 million tonnes. Wheat exports are supported by a favorable market situation and record-high carryovers,” the materials read.

High activity of exporters will ensure fast transportation of Russian grain to the other countries. As of Tuesday, the wheat sales contracts jumped to 4.5 million tonnes from 2.2 million tonnes as of July 7 and from 1.1 million tonnes at the beginning of June.

“Russian wheat enjoys high demand because of its competitiveness. The prices for Russian wheat with protein content of 12.5% stand at U.S. $232.5 per tonne compared to $252 per tonne of French wheat at the Matif exchange,” SovEcon said.

Starting from July 1, three large global suppliers of agricultural products stopped exporting Russian grain – Cargill, Viterra, and Louis Dreyfus Company.

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