Wheat prices soar on drought in Russia, CIS.

By bne IntelliNews July 26, 2010
The price of wheat at the Chicago Goods Exchange reached USD 219.65 per ton last week, which makes 8.3% w/w increase. This is the highest price of wheat seen since June 2009. Major reason for wheat price hike is an ongoing drought in Russia, Kazakhstan and Europe. Russian Agricultural Minsitry already decreased the forecasted grain crop this year from 97mn tons to 85mn tons this year and does not exclude further cuts of crop projections for this year. In 23 Russian regions that suffer from drought state of emergency is already implemented. Authorities are hoping to solve grain deficit, satisfy domestic demand and control the prices of wheat by organising interventions from State Grain Fund, which will be available for orders from producers suffering from drought in August.

Related Articles

Russias participation in Cyprus bail-out under question.

As Cyprus is trying to come up with new ways to raise EUR 5.8bn needed to secure the financing from ECB, EC, and IMF, Russia's participation in the package is not clear. According to the latest ... more

Fitch: Russian banks risks in Cyprus limited.

Fitch Ratings believes that resolution of the Cyprus crisis with a deposit levy or some other form of burden sharing involving creditors is unlikely to result in material losses for Russian ... more

Sources: Russia could triple oil exports to China.

Russia and China discuss contracts that would triple exports of Siberian oil through various transport corridors, Reuters reports citing unnamed sources in the industry. Rosneft is discussing ... more

Notice: Undefined index: subject_id in /var/www/html/application/controllers/IndexController.php on line 335
Dismiss