News

Forty-five percent of the crop, the high-protein variety grown in northern states, was in good or excellent condition, down 10 percentage points from the prior week.

Rising on strength in MGEX spring wheat futures, which rallied overnight following the U.S. Agriculture Department crop conditions report that showed good-to-excellent ratings for the spring wheat crop fell in the latest week due to dryness in the U.S. Plains. CBOT July soft red winter wheat was last up 5-1/4 cents at $4.39-1/4 cents per bushel, K.C. July hard red winter wheat was last up 7-1/2 cents at $4.50-1/4 a bushel and MGEX July spring wheat was last up 15 cents at $6.15-1/2 a bushel.

GASC, was expected to import a record six million metric tonne of wheat this marketing year, up from around 5.4 million metric tonne in the last year. A GASC wheat tender was announced for shipment July 15-25 for 12.5% protein wheat. GASC closed its most recent wheat tender on Saturday for 360,000 metric tonne for July 10-20 shipment on an FOB basis at an average price of $194.22/ metric tonne, which included both Romanian and Russian origins. That followed a tender that closed on May 31 when 240,000 metric tonne were purchased.

Tunisia state grains agency has issued an international tender to purchase some 92,000 tonnes of soft milling wheat and 25,000 tonnes of feed barley. The origin was optional. Tender deadline is Wednesday, June 14. The wheat was sought in three consignments of 25,000 tonnes and one of 17,000 tonnes. If sourced from Europe or the Black Sea region, shipment was sought for Aug. 20 to Oct. 10. Shipment periods from other origins differ. The barley was sought in a single 25,000 tonne consignment for July 15 to Aug. 5 shipment depending on origin.

Wheat prices remained unchanged in major wholesale markets. The key market of Indore remained shut due to unrest in Madhya Pradesh.

The US Department of Agriculture has reduced its forecast for India wheat production in 2017-18 marketing year (Apr-Mar) to 96.0 million tonne. In the previous forecast released in May, the US agency had projected wheat production of 97 million tonne in India. Production is still seen at a record high and over 10% higher from 87 million tonne a year ago. The government has estimated India wheat output in the 2016-17 crop year ending June to a record 97.4 million tonne. Despite the record crop and a custom duty of 10%, the department sees India wheat imports in 2017-18 at 4.0 million tonne.

USDA weekly crop progress report is expected to show lower condition ratings for spring wheat crops. Spring wheat was expected to be rated 53 percent in good to excellent condition, off 2 percentage points from last week as hot temperatures and limited rainfall in the central United States stressed developing corn and wheat plants. The winter wheat harvest likely advanced to 22 percent done, up from 10 percent a week ago.

Saudi Arabia main state wheat buying agency the Saudi Grains Organization bought 805,000 tonnes of hard wheat in an international tender. The purchase comprises 13 consignments to be shipped to the ports of Jeddah, Dammam and Jazan. Arrival dates range from August 1 to October 20. The purchase was made at an average price of $216.66 a tonne c&f.