Egypt's GASC says traders have to honour Russian wheat contracts. Egypt bought 300,000 T of Russian, French wheat fo Jan shipment Dec. 24, 2014
Egypt's state grain buyer the General Authority for Supply Commodities (GASC) said on Wednesday, December 24, trading companies were obliged to abide by their contracts to ship Russian wheat to Egypt during January.
"Traders have to abide by their contracts," Mamdouh Abdel Fattah, GASC's vice chairman told, after the head of Russia's Grain Union, Arkady Zlochevsky, told reporters his country may fail to supply wheat to Egypt's GASC in January as its exports have been effectively suspended by informal government curbs.
Egypt has sufficient wheat supply to last until late April, just after the government will begin buying wheat from the local harvest, the supplies minister said in a statement on Sunday, December 21.
Khaled Hanafi said the government would start procuring wheat from local farmers in mid-April. The state would pay farmers 420 Egyptian pounds ($59) per ardeb (~150 kg) unchanged from last year. The government hopes to procure 3.6 to 3.7 million tons of local wheat in the harvest season that runs from April to June.
In its last tender on Saturday, December 20, GASC bought 300,000 tons of French, Russian wheat for shipment January 21-31:
- 60 KMT of French wheat from Granit at 274.99 $/t c&f (258.69 $/t fob plus $16.3 freight from National Navigation Company)
- 60 KMT of French wheat from Glencore at 273.64 $/t c&f (258.69 $/t fob plus $14.95 freight from Glencore)
- 60 KMT of French wheat from Cargill at 272.62 $/t c&f (258.30 $/t fob plus $14.32 freight from Mina Egypt)
- 60 KMT of French wheat from Lecureur at 275.95 $/t c&f (258.30 $/t fob plus $15.15 freight from Mina Dubai + 2.5 $/t for shipment from two ports)
- 60 KMT of Russian wheat from Union Co. at 275.03 $/t c&f (263.60 $/t fob plus $11.43 freight from National Navigation Company)
GASC has bought 2.905 MMT (1.14 MMT from France, 780 KMT from Romania, 765 KMT from Russia, 55 KMT from USA and 165 KMT from Ukraine) of wheat on the international market since July 1, the start of the 2014/15.
Egypt purchased 5.46 MMT of wheat from abroad in the 2013/14 fiscal year in addition to 3.7 MMT of local wheat.
OFFERS ($/t, fob)
- Cargill: 60 KMT of French wheat at $259.50
- Soufflet: 60 KMT of French wheat at $262.94
- Ameropa: 60 KMT of Romanian wheat at $272.27
- Nidera: 60 KMT of Romanian wheat at $268.50, 60 KMT of French wheat at $263.50
- Granit: 60 KMT of French wheat at $258.69
- Louis Dreyfus: 55 KMT of U.S. soft red wheat at $287.39
- Glencore: 60 KMT of French wheat at $259.30
- Union: 60 KMT of Russian wheat at $264, 55 KMT of Ukraine wheat at $262
- Bunge: 60 KMT of French wheat at $262.50
- Lecureur: 60 KMT of French wheat at $259.50
- Ameropa: $10.01
- Mina Egypt: $8.97
- National Navigation: $16.40
- Glencore: $14.95
- Mina Egypt: $14.32
- Mina Cuba: $15.45
- National Navigation: $11.48
- Union: $10.50
- Mina Dubai: $13.05
- Mina Egypt: $25.38