18 August, 2006

Russia: Spring barley price stands at USD/t 113-115, exporters expect further price reduction

After the last week’s growth of prices for Russian feed barley, they stabilized at USD/t 104-105 FOB ports of the Sea of Azov. Meanwhile, barley of new harvest comes to the market quickly and produced a USD/t 2 decline of prices down to the level of USD/t 113-115, closer to the Ukrainian barley prices, UkrAgroConsult published in its 32 (148) Black Sea Grain report for the week ended August 14.

The situation with feed barley is unclear yet, because agricultural producers are not hurrying to sell winter barley, whereas exporters are expecting a large inflow of spring barley to the market with a hope for a price reduction. It was only during the last week that spring barley harvesting commenced. If export prices do not grow, domestic prices are likely to go down.

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