Wheat Prices, Pricing, Demand & Supply, Market Analysis | ChemAnalyst

North America

In the North American region, the second quarter of 2023 saw a mixed market trend for wheat prices. At the start of April, the prices of wheat in Canada saw a slight improvement due to increased domestic inquiries and available stockpiles among local merchants. However, there was a significant dip in wheat prices in the middle of the second quarter. This was caused by a decline in manufacturing activities and weakened raw material prices for producing various products, including wheat. Additionally, energy and petroleum product prices fell for the fourth consecutive month in May, leading to a monthly decrease in the Industrial Product Price Index (IPPI). The prices of wheat remained low throughout May due to a mixed weather outlook and tepid export demand. Towards the end of the second quarter, the prices of wheat started to rise, balancing the overall supply-demand market.

Asia Pacific

In the APAC region, particularly in the Indian market, wheat prices showed a decrease during the second quarter of 2023. The price decline can be attributed to excessive rainfall at the end of March and early April, which affected manufacturing activities and reduced the production capacity. As a result, the prices of wheat continued to remain on the lower side throughout the second quarter. The prices of wheat in the Indian market were recorded at USD 281.97/MT Ex Bareilly in May. The depreciation of the rupee against the dollar in recent months has made imported goods more expensive. However, this also makes Indian exports more competitive in other countries, boosting exports and putting downward pressure on prices.

Get Real Time Prices of Wheat: https://www.chemanalyst.com/Pricing-data/wheat-1324

Europe

Across Europe, the prices of wheat followed a downward trajectory during the second quarter. In April, the operating rate continued to be pessimistic, and the demand for the wheat market was weaker compared to the previous month. Trade subjects were bearish on the future market, contributing to the downward trend in wheat prices. Furthermore, after Ukraine and Russia agreed to extend their deal allowing the export of grain from Ukrainian ports in the Black Sea, wheat prices were further reduced in May. The sagging energy markets and crude oil futures added to the bearish sentiments in grains. The prices of wheat in Russia were recorded at USD 253/MT FOB Novorossiysk and USD 213/MT FOB Odesa in Ukraine in the middle of the second quarter. The prices of wheat in Russia and Ukraine continued to maintain their downward trend until the end of June 2023 due to weak domestic inquiries and available stockpiles among local merchants.