Statistics Canada and the country’s Ministry of Agriculture revised their optimistic estimates for the upcoming harvest, cutting at least 400,000 tons from the country’s total production. A few weeks ago, the same authorities were talking about a production of between 6.3 and 6.6 million tons, now falling to 5.8 to 6.1 million tons. With the exception of last year’s disastrous crop, Canada usually achieves average yields close to 250 kg per hectare, while the latest estimates put the average yield at 200 kg per hectare. In fact, market players, especially in Italy, report that the final production in Canada may be a little over 5.5 million tons. In any case, it will be a doubling of the country’s performance last year. In this sense, Canadian FOBs are back at €411 a tonne, down from €360 last week. The price has strengthened by almost 100 euros compared to the levels formed during the first week of August.
The market in France also moved upwards, recovering 20 euros per ton, returning to 450 euros, levels it maintained throughout August. In Foggia, prices remained unchanged at 487.5 euros per ton, confirming the scenario that wanted the market to find its lows.
In particular, the quality wheat with a specific weight of 78 kg/hl, vitreous 70% and protein 12%, the merchant warehouse price is now traded at 487.5-482.5 euros per ton.
In the Greek market, where the last major transaction concerns at 44 cents a kilo from the Nice cooperative for the free wheat of its members, which was absorbed by Melissa, a stagnation is currently observed. The free trade is insisting on 40 cents per kilo, levels it has already formed since last July, while smaller brokers are pushing for even 38 cents per kilo. In fact, Greek FOBs are also heard to have dropped to the region of 420 euros per ton, in a rather delayed reaction, since now the rest of the market seems not only to be stabilizing, but to be trying to recover some of the lost levels.