Ukraine’s winter wheat harvesting campaign has started, with initial yields still at a low level, according to the analytical cooperative Pusk, created within the Ukrainian Agrarian Council (UAC).
“The first results are not impressive yet – the average yield is about 2.1-2.15 tons/ha. But this is only the beginning of the campaign, and under favorable weather conditions we expect the average to increase,” the analysts said.
They emphasized that the weather conditions remain favorable for the harvesting, as no precipitation is expected this week and next week, so the field works will continue without any delays.
“However, on the grain market, traders are currently focused on barley and rapeseed. According to forecasts, ships with wheat are expected to start entering ports on July 15-18, so the market is still relatively calm,” the experts said.
According to their information, wheat prices are currently fluctuating around $210/ton for the third class on a CPT-port basis. Analysts expect a gradual increase to $230-240/ton in the fall, and the price peak may occur in December-February, when the price may reach $250-260/ton.
The global market is also showing signs of supply reduction.
“The US and Russia, as key exporters, have serious problems with the harvest. This creates the potential for further growth in world prices. If the losses are confirmed, we may see $230-240 per ton in August-September,” Pusk predicts.
