Bangladesh, Egypt waiting for Black Sea wheat

27.06.2017

The USDA estimates that this season’s global wheat exports will reach another record of 180.3 MMT (up 4.3% year-on-year) in view of bumper harvests in many top-exporter countries and low world prices.

In general, export shipments from major exporting countries (July-April) are already 10 MMT higher (+8%) than at the same time last season. Ukraine managed to expand its export share in all the main end markets, having pushed aside other suppliers. The only exceptions are the markets of Thailand and Spain.

Concerning the outlook for 2017/18, global wheat exports are forecast to be lower than last year, at 178.55 MMT (down 1.75 MMT), as feed wheat consumption is expected to shrink in favor of corn. In addition, exportable wheat stocks in key supplying countries are expected to shrink due to drought events observed in Ukraine, the EU, Australia, and USA.

In the next season Egypt and Bangladesh will remain the most attractive markets for Black Sea wheat, UkrAgroConsult notes. Egypt will import a record wheat volume in 2017/18 season (12 MMT according to USDA estimates) in view of growing population and increasing state subsidies for production of staple foods.     

Bangladesh imports will grow by 800 KMT to a new high to 6800 KMT.

Full version of the article is available to subscribers for weekly market report “Black Sea Grain & Oil” and “Online market review” by UkrAgroConsult.

 

UkrAgroConsult

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