EU Wheat Exports Start Strongly

By: Gáspár Kinga Date: 2022. 07. 11. 15:30

European Union wheat is being scooped up at the start of the 2022/23 crop season as importers profit from a pullback in prices from records and seek alternatives to Ukrainian supplies disrupted by war, traders and analysts said.

EU Wheat Exports Start Strongly As War Hangs Over Season

A rare purchase of German wheat last week by Egypt’s state grains buyer, which ramped up direct purchases outside international tenders, underscored how EU wheat is being tapped in the Middle East and Africa to cover the early part of the new season that started this month.

“The EU looks like having to take a big share of the burden of replacing Ukrainian wheat this summer,” a trader said.

There has been market talk of an unusually large volume of over 1 million tonnes of German new-crop wheat already sold in advance, including to Iran and buyers around Africa.

In France, the typically quiet export month of July is set to be much busier as harvesting starts early and core markets like Algeria and Morocco have fewer options in the Black Sea region.

The EU’s executive projects record EU soft wheat exports of 38 million tonnes in 2022/23.