Prices on the Russian market actively reduced primarily in the regions of mass harvesting. So, last week the average prices in the European part of Russia on wheat 4 cells dropped to 275 rubles to 8 100 RUB/t factors for the decrease of the previous receipt record harvest, high inventory, lack of storage facilities and transport.

However, one important factor until recently supported the domestic market and export prices were generally stable, while for wheat of 12.5% is just below $200/t FOB.

However, the world prices on the exchanges fall, and active. Rally in Chicago, which started as in 2015, in late June, ended the same – active sales, and the market return to the starting levels. Two years later, the 2015 scenario was repeated almost one to one.

A consequence of the fall in Chicago and Paris this week was the decline in prices on the Russian FOBе. Current offers are already at $195 and below. We can expect that this trend will continue, and prices on today's GASC tender likely to be severely reduced.

Photo: elementbank.ru