Wheat Daily Updates [GRAINS] Market Updates: 6 th Feb 2018

Transcription

1 Market Updates: 6 th Feb 2018 India to import about 150,000 tn wheat from Black Sea region this month. About 150,000 tn of wheat from the Black Sea region is expected to reach the southern ports of India this month, despite higher import duty. Three vessels (carrying 45,000-50,000 tn wheat each) are destined to Tuticorin port in Tamil Nadu this month; one of these was diverted from Bangladesh. The Black sea region comprises Russia, Ukraine and Kazakhstan. A shipment of 50,000 tn wheat had recently arrived at Karaikal port in Puducherry. Deals for these imports were signed before the government had raised import duty on wheat. NCDEX wheat down 1% as demand weak, supply seen high. Wheat futures on the NCDEX fell 1% as demand remained weak while supplies are seen rising when harvesting begins in March. The sentiment in wheat market is bearish as demand is very weak and hopes of import duty hike are also dying down. While supplies from the last season are already high, next crop is round the corner and there are concerns of a supply glut when harvesting starts. Saudi Arabia's SAGO pays $10 more at milling wheat tender. Saudi Arabia s state grain importer SAGO bought 739,000 MT of milling wheat at tender at almost $10 more than at its previous tender. SAGO bought 12 cargoes at an average price of $241.60/mt CIF an increase of $9.63/mt since buying 495,000 mt at its previous wheat tender, which closed on Dec 4. Prices ranged from $ $245.42/mt CIF, with seven multinational trade houses and cooperatives involved ADM, Cargill, Casillo, Holbud, InVivo, Olam, and Soufflet. SAGO is responsible for all 3.5 million mt per year of Saudi Arabia s wheat imports. Its buying activity jumped in the late 2000s after it started to wind down domestic wheat production which relied on a costly irrigation programme. According to SAGO, annual imports jumped from 303,500 MT in 2008 to 1.92 million mt to a high of 3.8 million mt in 2016, with 2018 imports forecast to reach 3.7 MMT. Brazil wheat output to fall in Brazil s wheat production is forecast at 4.3 million tonnes, down sharply from the previous estimate due to larger-than-expected losses from drought and frost conditions during critical development stages of the crop. If realized, it will be a 36% decline from the country s wheat output of 6.73 million tonnes. Wheat imports for are forecast at an increased level of 8 million tonnes, reflecting the decrease in domestic production. Iran wheat, flour exported to Oman, Italy, Iraq. round 28,500 and 31,500 tons of wheat were exported to Oman and Italy respectively from Khuzestan Province during the first 10 months of the current Iranian year (March 21, 2017-Jan. 20, 2018). An official with the Government Trading Corporation of Iran, said 28,000 tons of flour were exported to Iraq from the southern province over the same period. By applying proper packaging and speeding up customs procedures for Khuzestan s flour, we were able to get ahead of our main rival, Turkey, in the Iraqi market. During the wheat crop season, Khuzestan topped the list of Iranian wheat-producing provinces with 1.7 million tons. Russian wheat exports slip to 6-mth low as ministry plans sell-off. Sales of Russian wheat have slowed for the third consecutive week, posting the lowest weekly figure since July Weekly wheat sales of 466,000 mt were the lowest of the 2017/18 marketing year since the week ending July 30 and were 47,000 mt lower than during the same week in the 2016/17 marketing year. Page 1 of 6

2 Pakistani wheat sold for export under state incentive programme. Pakistani wheat has been sold to overseas buyers in Asia and Africa after the country started a new state export incentive programme. Sales for break bulk shipment have been made to Kenya, Bangladesh and Indonesia at $188 to $ a tonne FOB Pakistani ports. Sales for shipment in containers have been made to Vietnam, Indonesia, Malaysia and Djibouti at around $195 to $198 a tonne FOB Pakistani ports. CBOT wheat (in cents/bushel) as on: 5 th February 2018: Weak sentiments witnessed in market. Month Open High Low Close Change Mar May Jul Sep Dec Mar Wheat FOB (USD/MT) Origin- Variety Ukraine-11.5%-SRW Ukraine-12.5%-SRW Russia Romania Feed France-feed Germany-Feed Argentina 12% Australia -APW USA-SRW Australian Wheat FOB at CBOT (In USD/MT) Month Feb Mar Apr May Jun Jul Aug Sep Oct Nov Page 2 of 6

3 Dec Jan Eastern Australian Wheat (In AUD/MT) Month Mar May Jul Sep Jan Jan Jan WA Wheat Futures (In AUD/MT) Month Mar May Jul Sep Jan Jan Jan Currency Reference: Currency Vs INR USD GBP EURO YEN NCDEX Wheat Future (in INR /Qtl.) as on 6 th Feb 2018: Market witnessed weak sentiments in nearby contract. ExpiryDate `+/- Open High Low Close Vol OI Basis (Spot- Future) Calendar Spread (Near Month-Far Month) 20-Feb NA 20-Mar Apr May Jun *Exp. Dt. = Contract Expiry Date Page 3 of 6

4 NCDEX Spot Price (in INR. /Qtl.): Mostly weak witnessed in the spot markets. Location Delhi Indore Kanpur Rajkot NCDEX Wheat Stock position* at approved warehouses (Quantity in MT) Location Kota Total *(total quantity including quantity in progress) NCDEX Wheat EDD Wise Stock Position (Quantity in MT) Location EDD Kota 05-Apr Total Wheat Prices in Domestic Markets (in INR /Qtl.): Mostly weak movement witnessed in the market. State Market Variety Feb 06 Feb 05 Tamil Nadu Madurai Mill Quality (Mill Delivery) Tamil Nadu Chennai Lokwan (Mill Delivery) Gujrat Surat Mill Quality (Loose) Tamil Nadu Madurai Lokwan (Mill Delivery) Gujarat Ahmedabad Mill Quality (Loose) Delhi Delhi (Narella) FAQ Delhi Delhi (Lawrence Road) FAQ Delhi Delhi (Najafgarh) FAQ Madhya Pradesh Indore Mill Quality (Loose) Madhya Pradesh Indore Mill Quality (Mill Delivery) Uttar Pradesh Hapur Mill Quality (Mill Delivery) 1735 Madhya Pradesh Bhopal FAQ Uttar Pradesh Mathura FAQ Madhya Pradesh Indore Lokwan (Loose) Rajasthan Alwar Mill Quality (Mill Delivery) 1625 Tamil Nadu Coimbatore Lokwan (Mill Delivery) Haryana Dabwali Mill Quality (Loose) Rajasthan Kota FAQ Page 4 of 6

5 Uttar Pradesh Kosi FAQ Punjab Khanna FAQ Uttar Pradesh Kanpur Mill Quality (Loose) Uttar Pradesh Kanpur Mill Quality (Mill Delivery) Uttar Pradesh Bareilly FAQ Tamil Nadu Coimbatore Mill Quality (Mill Delivery) Rajasthan Bharatpur Mill Quality (Mill Delivery) Madhya Pradesh Ujjain Mill Quality (Mill Delivery) Tamil Nadu Chennai Mill Quality (Mill Delivery) Haryana Hodal Mill Quality (Mill Delivery) Gujarat Rajkot Mill Quality (Mill Delivery) Gujarat Rajkot Mill Quality (Loose) Haryana Panipat Mill Quality (Loose) Wheat Port Line Ups as on 30 January 2018 PORT STATUS VESSEL NAME ETA QTY MTS LOADPORT RECEIVER CHARTERER TUTICORIN ANCHORAGE RIVA WIND (SHIFTED TO ANCHORAGE) YUZHNY, UKRAINE SHADI RAM & SONS TBA MANGALORE SAILED N I L ETC = Expected Time of Cargo, QTY MT = Quantity in MT IMP/EXP = Import/Export India Weather Updates: Winter Monsoon Rainfall (in mm) from 01 January to 31 January 2018 Region Actual Normal % Departure from Long Period Average All India East & Northeast India Northwest India Central India South Peninsula Ukraine Wheat Price (In RPH/MT) Market Variety Kiev (Київська) 2kl kl kl Page 5 of 6

6 Cherkasy (Черкаська) Poltava (Полтавська) Kirovograd (Кіровоградська) Dnipropetrovsk (Дніпропетровська) Mykolaiv (Миколаївська) Vinnytsia (Вінницька) Volyn (Волинська) Lviv (Львівська) Ivano-Frankivsk (Івано-Франківська) 2kl kl kl kl kl kl kl kl kl kl kl kl kl kl kl kl kl kl kl kl kl kl kl kl kl kl kl kl kl Page 6 of 6