India. Rising imports pull wheat prices 8-10% lower

11.10.2016

Wheat prices fell 8-10% in the past fortnight with shipments from Ukraine and Australia landing at Indian ports. Traders expect a further correction in November-December when Australia starts harvesting the new crop.

Some analysts want the government to scrap the 10% import duty that India levies on the grain, as they expect the local output to miss the official estimate. As per trade executives, India imported 8 lakh tonnes of wheat since the beginning of the fiscal year in April and has recently signed contracts for another 2.5 lakh tonnes, predominantly from Ukraine. “With global production of wheat looking great and the Australian and Ukrainian crop close to harvest, we expect prices to go down and India can import more,“ said Rajiv Yadav, vice president for grains and oilseeds at Noble Natural Resources India, a member of trading company Cofco Agri.


indiatimes

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