Wheat prices have started to recover after a ship incident near Odessa region.
Analysts from the agricultural cooperative "PUSK," created within the framework of VAA, reported that last week the Ukrainian wheat market experienced growth. However, chaos ensued after a ship incident near Odessa, causing traders to immediately reduce prices. The decline continued for two days, but by the end of the week, wheat prices had returned to previous levels. Since the beginning of the current week, prices have begun to rise.
Despite minimal offerings on the CPT markets, as exports shifted from Odessa ports to Constanta, wheat is in high demand. As of November 13, 622,000 tons of wheat have been exported out of the contracted 1.4 million tons. Wheat is increasingly being shipped by ships to Asia in fulfillment of previously concluded contracts. The global market has become more active, with rising global prices. Currently, there is another wave of demand from Asian countries for Ukrainian wheat with deliveries in December-January.
Prices for 3rd-class wheat at the CPT Odessa basis range from $170-175 per ton, and an increase to $180 per ton is expected this week.
Forage wheat, trading at $130-135, could reach $142 per ton. In the Danube ports, prices are approximately at the same level. There is high demand for forage wheat from Italy, with prices at around $200 per ton on DAP Italy terms with delivery in December.
