Wheat: Prices seem on the rise
July 17, 2017 at 3:04 PM ,
Starry Night Ltd.
The North leads the South, as usual
SOFIA. Some farmers from the Northeast regions have recorded as high a yield as 5.6 mt/ha while their counterparts from the Southwest collected their crops at a yield of about 2.2 mt/ha. The differentiating factor is not so much the weather as it is the soil content.
Anyhow, international buyers should not be concerned since the central South and Southwest regions of the country usually contribute a small part to the national output. According to the Ministry of Agriculture, for harvest 2016-17, both regions contributed only 11.14% of total aggregate output, which stood at 5,662,721 mt. This year, because of lack of favorable weather conditions during early Spring, the local yields and outputs from those regions are expected to be smaller than those of last year.
The North regions got the necessary rains in early Spring -- discounting the hailstorms in the beginning of the month, -- and since the soils throughout these regions are very auspicious for the growth of grain crops, it comes as no surprise that farmers have recorded higher yields. For harvest 2016-17, the North regions contributed 70.46% of total national output. The rest came from the Southeast region.
Short-term prices are expected to rise
Local farmers collect the crop the earliest from all their Black sea basin counterparts. Prices already recorded a jump start from last week by a few euro per mt. At least before the Ukrainian and Russian crops hit the regional market, prices will remain high. The later competitiveness of the local crop will depend on its quality and EU counties’ demands.
|
Wheat, Bulgaria |
|
|
Type |
EUR/kg |
|
milling wheat |
0.151 |
|
feed wheat |
0.146 |
|
EXW Bulgaria |
|
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