Bulgarian wheat opens new markets

03.11.2016

According to the president of Bulgarian Association of Grain and Feed Traders (BAGFT) Martin Rusev, wheat exports are estimated at 3.9 MMT in the 2016/17 MY, of which 2.1 MMT were shipped abroad in July-October 2016. This part of grain was supplied to the European Union, and wheat was mainly forage (1.8 MMT).

M. Rusev believes that Bulgarian feed wheat has a significant cost advantage in the EU market compared to feed wheat from Ukraine and Russia (EUR 10-15 per ton) due to absence of import duties on Bulgarian products as EU country, reports UkrAgroConsult.

Improvement of 2016 wheat crop quality allowed increasing wheat exports to new markets. In particular, shipments of wheat to Vietnam grew significantly – to 360 KMT (last season supplies to this market reached only 90 KMT). According to M. Rusev, Bulgarian milling wheat has displaced wheat of Ukrainian origin, which quality did not comply with Vietnam’s requirements after the country tightened quality requirements for imported wheat.

Opening of new markets still remains the main problem for Bulgarian wheat export. The remaining export capacity is milling wheat.

 

UkrAgroConsult

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