Flour and Feed mills have started checking prices of Indian wheat as it is one of the cheapest origins now

Reports: Asia Grains-Buyers eye Indian wheat as global prices rise

* U.S. wheat jumps 5 pct this week, Australia prices firm

* Asian buyers eye U.S. wheat as Canadian cargoes delayed

* Indian wheat one of the cheapest origins now - trader

Indian wheat could find buyers in Asia as a 5 percent jump in global prices this week has made shipments from the South Asian country competitive.

Asian flour mills are bracing for a delay in cargoes of top-quality spring wheat from Canada which could shift some of the demand to the United States, traders said.

"There haven't been many trades done for Indian wheat in Southeast Asia as the demand is very slow due to the holiday season," said a Singapore-based trader, referring to the Lunar New Year break.

"But Flour and Feed mills have started checking prices of Indian wheat as it is one of the cheapest origins now."

Indian wheat is quoted at $280-285, including cost and freight (C&F), to Southeast Asia, compared with similar quality of U.S. wheat being offered around $310 a tonne and Australian standard wheat close to $300 a tonne.

U.S. wheat, which has gained almost 5 percent this week, is heading for its biggest weekly gain in more than four months as concerns over crop damage from cold temperatures across the U.S. Midwest underpin prices.

Indian wheat prices have eased $10-$15 a tonne in the last few weeks as expectations of a record-large crop weighed on the market.

The country is likely to soon permit more wheat exports as the world's second-biggest producer looks set to harvest a record crop of around 100 million tonnes this year, swelling stockpiles in an oversupplied world market.

A flour mill in Oman has purchased about 20,000 tonnes of Indian-origin wheat in a tender which closed on Tuesday.

Indian state trading company STC has issued two international tenders to sell and export a total of 200,000 tonnes of milling wheat. The deadline for both tenders is Feb. 24.

CANADIAN DELAYS

Asian wheat buyers are likely to suffer delays in supply of wheat from Canada which is facing logistical problems.

Many wheat importers in Asia, including Japan, Indonesia, Bangladesh and Malaysia, have booked cargoes of high-protein spring wheat from Canada for shipment in the months ahead.

"The only origin which can replace Canadian spring wheat is the United States," said a second Singapore-based trader. "Australia is not offering much of hard wheat."

Canada's record canola and wheat harvests have clogged its rail arteries and overwhelmed its ports, sticking Glencore and other grain handlers with millions of dollars in shipping penalties and leaving farmers' bins flush with crops worth less by the day.

U.S. hard red winter wheat was quoted at $340 C&F, up around $5 from last week, while spring wheat with 14 percent protein is being offered at $365 a tonne. Australian standard wheat is being priced at $300 a tonne in Southeast Asia and prime wheat at $ 305 a tonne

......................................Read Full reports @ Web : www.FeedGrainAgri.com

Thanks & Best Regards

Mr. Pankaj Katba 

Feed Grain Agri Brokers 

"We Care Our Name & Commitment"

(International Brokers / Buyers sourcing agent for Milling Wheat, Maize, Millet, Rice, Sugar Barley & Repe Seed Meal)

905, Star Plaza, Phulchhab Chowk , Rajkot 360 001 Gujarat – INDIA

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India Sights Record Wheat Crop This Year

India may be heading for a record wheat output this year with a prolonged spell of chilly weather interspersed with rains over the northern breadbasket region brightening the crop outlook, a senior government official said Thursday.

A bumper wheat crop will aid the government's plan to roll out a food security law that will provide nearly-free grains to around 70% of the people.

Wheat output abounds in cool weather and that is why farmers plant the crop in the winter months of October-November and harvest it in early summer, between March and April.

"I am becoming more and more optimistic about this year's crop. So far, the weather has been excellent," said Veena Sharma, head of India's state-run Directorate of Wheat Research, located in the northern Indian town of Karnal.

She said production could touch around 100 million metric tons this year, provided there was no abnormal warming of weather ahead of harvest.

India needs around 60 million tons of grain annually to implement the food security law.

The area under wheat has grown to 31 million hectares from 29.6 million hectares last year.

Weather conditions so far have been congenial for tillering, or development of shoots from the base of the plant, which are important to wheat yields.

India's wheat output had hit a record of 94.88 million metric tons for the crop year that ended June 2012, but had dipped to 92.4 million tons last year due to bad weather.

The wheat crop in pockets of the northern states of Punjab and Haryana had been attacked by stripe rust fungal disease this month, but its spread was contained with farmers sparing fungicides with the help of government workers, she said.

With warm regards

Pankaj Katba

Feed Grain Agri Brokers  

"We Care Our Name & Commitment"

(International Brokers / Buyers sourcing agent for Grain, Pulses and Spices, Oil seeds,  Milling Wheat, Maize, Millet, Rice, Sugar Barley & Rape Seed Meal)​

905, Star Plaza,  Phulchhab Chowk , Rajkot 360 001 Gujarat – INDIA

Tel       : +91 -281- 3065002 Fax: +91 -281- 3065002

Cell No : +91-88-6666-3400, +91-98246 -01900, 

E-mail  :  Pankaj@FeedGrainAgri.com  & FeedGrainAgri@Gmail.com

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PEC Issued Export Tenders For 155,000 Tons Wheat - Feed Grain Agri Brokers

Date: 24 Jan 2014

PEC Issued Export Tenders For 155,000 Tons Wheat

Delhi

State-run PEC today floated 2 separate global tenders for exporting a total 155,000 tons of wheat between February 15 and March 25.

    

PEC will offer 120,000 tons of wheat at Kandla port on the western coast, while the rest 35,000 tons at Vizag port on the eastern coast, according to the tenders.

    

Bids will close on February 12. Bidders can quote for a minimum quantity of 35,000 tons for shipment from Vizag port and 45,000 tonnes from Kandla port.

Regards Pankaj

Singapore’s Agrocorp makes highest bid for PEC wheat tender

Singapore’s Agrocorp International has offered the highest price of $281.5 a tonne to buy 50,000 tonnes of wheat from State-owned PEC Ltd. The offer has been made to procure Food Corporation of India’s stocks from Krishnapatnam port in Andhra Pradesh.

Agrocorp’s offer is against the 70,000 tonnes that PEC had tendered for sale.

Cargill was the second highest bidder, offering $281.26 for 30,000 tonnes, while Emmsons International bid at $281.11.

PEC received six bids, with Vitol ($277.79), Starcom ($271.68) and Glencore ($269.10) being the other bidders.

The bids, received on Monday, were marginally lower than those received on December 12. But they are over eight per cent higher than the floor price of $260for exports set by the Government recently.

State entities including PEC, STC and MMTC have been receiving better than expected response in recent tenders.

The entities had offered 6.5 lakh tonnes of wheat for exports this month as pressure was building up on Government to create space for the new crop arrivals.

Wheat stocks in the Central pool stood at 31 million tonnes, thrice the target for the October-December quarter.

Expectations are that the country may see yet another bumper wheat harvest this season, based on the current sowing pattern wherein acreage under the cereal crop is higher by 40 lakh hectares (lh) at 253.75 lh for this time of the year.

Wheat planting will continue till mid-January.

The Government has decided to ship out about two million tonnes of wheat to reduce surplus stocks. The state entities had exported 4.2 mt in fiscal 2012-13 and the value of these shipments was $1.4 billion.

The average price fetched by Indian wheat was $311.38 last fiscal.

With warm regards

Pankaj Katba

Feed Grain Agri Brokers  

"We Care Our Name & Commitment"

(International Brokers / Buyers sourcing agent for Grain, Pulses and Spices, Oil seeds,  Milling Wheat, Maize, Millet, Rice, Sugar Barley & Rape Seed Meal)​

905, Star Plaza,  Phulchhab Chowk , Rajkot 360 001 Gujarat – INDIA

Tel       : +91 -281- 3065002 Fax: +91 -281- 3065002

Cell No : +91-88-6666-3400, +91-98246 -01900, 

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Wheat Tender Result

PEC / KRISHNAPATNAM – 70,000 MT

-                      AMIRA FOODS  - 70 K  284.70

-                      AGRI COMMODITIES – 30 K 289.90

-                      CARGILL – 30 K 279.75

-                      VITOL – 30 K 273.10

MMTC/KAKINADA  - 60,000 MT

-          AL GHURAIR               -           284.70 – 30 K/ 277 – 25k

-          AVANTI                       -           272.09  - 25 K

-          AGROCORP                 -           285.95  - 50 K

-          EMMSONS                  -           277.40  - 30 K

-          TOEPHER                     -           260.00  - 60 K

-          CARGILL                      -           280.00 – 40 K/282.75 – 30 K

-          STARCOM                   -           268.00 – 25 K

STC/MUNDRA  - 120,000 MT

-          AMIRA                         -           282.00 -  30 K 

-          AGROCORP                 -           280.00 -  50 K

-          LOUIS DREFUS             -           278.28 -  30 K

-          EMMSONS                  -           278.01 -  30 K

-          AGRI COMMODITIES  -           286.20 -  30 K

-          AL GHURAIR               -           285.85 -  30 K

-          PROMISING INTL.        -           279.75 -  30 K

PEC/KANDLA  - 90,000 MT

-          CARGILL                      -           280.00  – 40 K

-          LOUIS DREFUS             -           276.12  - 30  K

-          CONCORDIA                -           280.26  - 30 K

-          AL GHURAIR               -           284.70  - 30 K

-          EMMSONS                  -           278.01  - 40 K

-          STARCOM                   -           268.00  - 30 K

Tender Result : Indian Government Milling wheat Exports Tender result

Key Points: 

1. Wheat exports tender gets bids higher than floor price

2. India's PEC gets highest bid at $290/T in wheat export tender

Reports By: Pankaj Katba Feed Grain Agri Brokers 

Buyers in Singapore and Dubai have placed the highest bids for export of Indian wheat through State agencies — STC, MMTC and PEC Ltd — for which tenders were opened on Monday.

At the top-end, bids received by these agencies ranged from $284.70-289.90 a tonne, broadly in line with the prevailing global prices, which have increased in the last three weeks.

PEC Ltd received the highest bid of $289.90 a tonne from the Singapore-based Agri Commodities International for about 30,000 tonnes of the 70,000 tonnes wheat offered from Krishnapatnam port.

MMTC received highest bid of $285.95 a tonne for 50,000 tonnes of the 60,000 tonnes offered from Kakinada Port by Agrocorp International Pte Ltd, another Singapore-based firm.

Agri Commodities was also the highest bidder at $286.20 a tonne for 30,000 tonnes of the 1.2 lakh tonnes offered by STC through Mundra Port.

BIDS FROM DUBAI

The Dubai-based Al Ghurair had placed a highest bid of $284.70 for 30,000 tonnes of the 90,000 tonnes offered through Kandla Port.

The responses to the latest tenders are higher than the floor price of $260 a tonne. On October 30, the Government had cut the floor price for wheat exports by $40 a tonne to $260 to make Indian wheat shipments more viable in the global market after the State entities received poor response to export 1.6 lakh tonnes last month. Against a floor price of $300 a tonne, the bids received by these entities for the October tender ranged between $260 and $267 a tonne, forcing the Government to cut the price.

“It is interesting that the large and medium-sized traders in Singapore and Dubai have made the highest bids. May be they are taking new positions,” said Tejinder Narang, a grains trade analyst. Further, none of the multinationals, such as Cargill and Louis Dreyfus, submitted bids at the highest levels.

Narang also pointed out that the Indian wheat has come at a par with supplies from the Black Sea region, where it is quoted between $280 and $290 a tonne.

The Government has decided to ship out about two million tonnes of wheat to cut surplus stocks and create space for other cereals such as rice, for which paddy procurement is currently on in states such as Punjab and Haryana. On November 1, India’s wheat stocks stood at 34 million tonnes, three times more than the target for the October-December quarter.

The State entities had exported 4.2 mt of wheat in fiscal 2012-13 and the value of these shipments was $1.4 billion. The average price fetched by the Indian wheat stood at $311.38 a tonne last fiscal.

Read Full reports at our Website .. www. FeedGrainAgri.com

Thanks & Best Regards
Pankaj Katba

Feed Grain Agri Brokers 

"We Care Our Name & Commitment"

(International Brokers / Buyers sourcing agent for Milling Wheat, Maize, Millet, Rice, Sugar Barley & Repe Seed Meal)
905, Star Plaza, Phulchhab Chowk , Rajkot 360 001 Gujarat – INDIA
Tel        : +91 -281- 3065002 Fax: +91 -281- 3065002
Cell No : +91-88-6666-3400, +91-98246 -01900,
E-mail   : Pankaj@FeedGrainAgri.com & FeedGrainAgri@Gmail.com
MSN     : FeedGrain@Hotmail.com
Skype   : FeedGrainAgri   BBM PIN:26DD706F   What's up / Viber: +918866663400
Web : www.FeedGrainAgri.com   Blog : www.FeedGrainAgri.Blogspot.in

STC is offering 120,000 tonnes on India’s west coast, MMTC 60,000 tonnes on the east coast, while PEC is offering a total of 160,000 tonnes on both the coasts.

The bids for first tender following lowering of base price for export of 2 million tonne (mt) of wheat from Food Corporation of India (FCI) stock will be opened on November 18.

Sources said state-owned trading agencies, MMTC, PEC and STC, have invited bids for 3.4 lakh tonne of wh-eat to be exported from Mudra, Kandla, Krishnapatnam and Kakinada ports. An empowered committee, headed by the commerce secretary, will approve the successful bidders.

This is the second attempt by the government to export wheat from its stock this fiscal after the first bids were rejected because of lower price last month. The state-owned trading firms had floated tenders for export of 1.5 lakh tonne of wheat. But the bids were subsequently scrapped because government agencies got a highest quote of only $269 per tonne against the base price of $300 per tonne.

FCI can export 2 mt of wheat till June 31, 2014, instead of March 31, 2014.

As reported by FE earlier, the food ministry had sent a proposal to the government again, requesting reduction in base price for wheat shipments to $260 per tonne, which was later approved by the Cabinet Committee on Economic Affairs. “As global prices have firmed up in recent weeks, we expect bids more than the base price for wheat exports,” a food ministry official said.

Meanwhile, higher wheat output this year in key exporting countries such as Russia, Australia, Canada and France, has pulled down the global wheat price to $260- $ 275 per tonne from $310- $ 330 per tonne last year.

Last year, due to global shortage, FCI had exported 4.5 mt of wheat and realised R7,000 crore at an average price of about $ 310 per tonne.