Prices of Australia wheat being offered in Asia have climbed to their highest in this season on expectations of lower supplies from the Black Sea region, after top supplier Russia imposed export taxes, two traders said.
Australian Premium White (APW) wheat was quoted around $310-$315 a tonne, including cost and freight (C&F), to Southeast Asia, up from selling mostly below $300 a tonne at end of last year.
“We don’t expect a big upside potential from the current level as buyers have reduced purchases,” said one trader.
This comes despite Australia harvesting a near-record crop more than 30 million tonnes because of favourable rainfall this season.
Ukrainian milling wheat export prices exceeded $300 per tonne on Wednesday, supported by a sharp upward trend in Russia, analyst APK-Inform said on Thursday.
Russia’s wheat export prices rose sharply last week ahead of a new export tax imposed by one of the world’s largest exporters of the grain from mid-February.
Source: Reuters (Reporting by Naveen Thukral; editing by David Evans)
