Ukraine could become major supplier of wheat to Asia
2011-06-02 10:38:13
The world prices of wheat can retain their current positions in the second half of 2011. Thus, the factor of droughts in Europe will be compensated for by Russia and Ukraine's returning to the ranks of grain exporters. In particular, the purchase price of wheat for Asian millers could be retained at USD 300-350 per ton, FOB. Ukraine was named as the main source of production for East Asia, UKRINFORM reported.
Experts from ANZ Banking Group noted that if the wheat production in the EU in the 2011/12 marketing year shrinks by 10-15% a year against the backdrop of low carry-over stocks of grain (11 million tons), then the European Union could stop the delivery of goods to foreign markets.
As for American grain crops, it is also expected that the production of solid-stem winter wheat over this period will fall by 7-8 million tons, to 21-22 million tons, against the background of drought in Kansas, Oklahoma and Texas.