WHEAT: WORLD MARKETS AND TRADE
Pakistan Returns As Net Importer: Pakistan's state-run Trading Corporation recently purchased 484,700 tons of wheat from the United States, Australia, and for the first time, Russia. These purchases are against the 1.0 million tons that the government earlier announced would be imported in order to rebuild strategic stocks, and another 500,000 ton tender is expected in the next few months. This marketing year, Pakistan will be a net importer for the first time since 1999/00. Pakistan's stocks have fallen to very low levels, due in part to strong exports 2 years ago, which went primarily to Africa. With production expected to fall below consumption this year, imports have become necessary. (See PDF version for chart)
Domestic: During early July, prices made a short-lived rally on quality concerns, but soon descended on increasing competition from the Black Sea Region and prospects of a good spring crop. Prices took a tumble at the end of July as competition became stiffer and prospects took shape for a record U.S. corn crop. Prices rallied slightly in the first week of August, due to improved exports.
For the week ending Aug 8, average HRW and SRW prices were $3 a ton lower than those in the first week of July. HRS prices lost $11 a ton while SWW ended the month with a loss of $1 a ton. (See PDF version for chart)
TRADE CHANGES IN 2004/2005
Bulgaria up 300,000 tons to 700,000 with higher
expected production due to recovering yields.
TRADE CHANGES IN 2003/2004
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