From 26 to 28 cents per kilo of durum wheat, the price is set based on the international market | News, news about AGROTIKA

Certainly higher than 25 cents a kilo and probably somewhat lower than 30 cents a kilo, the market for durum wheat is expected to move into the threshing floor this year, at least based on international trade data so far and estimates for the formation. of hard production in Greece.

The latest rains, despite their differences from region to region, saved the course of this year’s production to some extent, as the prolonged lack of rain throughout the previous period had created huge concerns, as it could “sink” yields.

The current picture of the country’s 3.5 million hectares of grain fields predicts a production of around 900,000 tons, since the drought of the previous period already cut at least 100,000 tons from this year’s production. In general terms, one could say that we are headed for a good production, certainly above the average, to the extent that no further adverse weather conditions occur in the next period until threshing.

The second element that producers and all market participants should keep in mind is that this year’s production in Greece is much earlier, as a result of early sowing, the mild winter and the prevailing drought, as already mentioned in the previous interval. This means that threshing will start at least a week earlier than in other years, so the new production will hit the market earlier, so the margins for those holding stocks are narrowing.

It should be noted that the price offered today by the trade to the producer for the last good durum wheat of last year is about 28 cents per kilo and does not seem to change, at least upwards, as the new harvest approaches.

Gradual rise in Foggia’s list

The gradual rise observed in recent weeks in the Foggia list is likely to do with the severe production losses due to drought recorded mainly in Italy, where information even speaks of a decrease of 50% compared to a normal year . On the contrary, Spain is in a better position this year, which last year at this time was trying to cover the needs of the domestic market with imports, while this year it appears as a seller-exporter.

The pivotal role of Turkey

However, where things are expected to be decided in terms of the balances that will be formed in the European market durum wheat, including the countries of the Mediterranean basin, is in the export face that Turkey will present this year. As Costas Theocharidis, Barilla’s supply manager, tells Agrenda, since the previous trading season, Turkey has been actively exporting durum wheat. This has to do, on the one hand, with the fact that the arable land with durum wheat in the neighboring country has increased, and on the other hand, to the policy of the Turkish pasta processing industry, which is indeed a considerable size internationally, to limit the use of durum wheat as a raw material in its products, lastly making significant admixtures with soft wheat (it also exists in abundance due to the war situation in Ukraine). This policy aims at the production of pasta at the lowest possible cost, so that it can be paid for by countries (mainly in Africa) with high needs for food of this category but also with low per capita income.

Turkey’s production on the market is twice as much as the Greek harvest

The figures want Turkey to produce about 4,700,000 tons of durum wheat, of which under the current conditions and if the same policy is continued on the part of the country’s industries, they could be available on the European market and in North African countries, from 1.5 to 2 million tons (durum wheat). Such a quantity, i.e. twice the total Greek hard production, naturally shapes other balances, as there are not a few countries that see with greater interest the purchase of raw material from Turkey, than from Canada.

agronews.gr