European wheat edged lower on Friday on prospects of a revival of the Black Sea grain export deal that would further boost competition from the region but uncertainty about the Argentine harvest gave prices some support.
Benchmark December milling wheat on Paris-based Euronext, was down 0.3% by 1230 GMT to 233.75 euros ($254.16) a metric ton. It is heading for a weekly loss of more than 3%.
Russian President Vladimir Putin will hold talks with Turkish President Tayyip Erdogan on Monday in the Russian Black Sea resort of Sochi, the Kremlin said on Friday.
Two Turkish sources told Reuters on Thursday that the meeting would primarily discuss Black Sea grain exports.
“The restart of Ukrainian ocean shipping would have a significant impact on prices as Ukraine’s large volumes of exports via the EU have high transport costs,” a German trader said. “Ocean shipping would be much cheaper and so allow Ukraine to sell wheat more cheaply.”
Ukraine is exporting more wheat than last year despite the collapse in July of a safe-passage deal for grain ships.
Source : BR