World wheat prices rising for bad weather in Ukraine
2012-02-22 15:00:27
The world prices for wheat following the trading in Paris are growing the third consecutive session because of fears that adverse weather conditions in Ukraine will lead to a low yield of winter crops and will force Kyiv to reduce the export of grain, Bloomberg reported.
The price of the May delivery wheat on Monday rose by 0.8% up to 211.5 euros per ton, while the most actively traded contract, November's, gained 1.4% rising to 196.5 euros per ton, the report reads.
In electronic trading on Tuesday, prices stabilized at the level achieved before.
According to Bloomberg, at the present time, many export-oriented companies have stopped buying bread wheat at the domestic grain elevators in Ukraine.
The U.S. Department of Agriculture (USDA) last week lowered the forecast of Ukrainian wheat exports in MY 2011-2012 to 6 million tons from 7 million tons.
As UKRINFORM reported, in February this year, the export of grain from Ukraine fell sharply because of both weather conditions and requests of the agriculture ministry to show a weighted approach to the export of wheat, holding back its shipments to foreign markets.