The Foreign Trade Research and Development Institute of the Lima Chamber of Commerce (Idexcam) warned that Russia’s recent invasion of Ukraine would put Peruvian wheat imports at risk, since Russia – a major world supplier – could receive drastic economic sanctions, which would interrupt its export volumes demanded by different markets, including Peru.
“In the eventual scenario that the economic sanctions are extended and include the main Russian exports, the countries that buy their wheat will have to look for other suppliers, which could eventually push up the value of this product”, said the executive director of Idexcam, Carlos Posada.
Wheat is a widely used cereal in our country and necessary for the manufacture of flour and bread, in addition to other products, highly requested in the family basket. At the end of 2021, imports of this product totaled US$17 million after acquiring 65,728 tons, according to Idexcam.
It is worth mentioning that the Peru’s main suppliers of wheat are Canada (75%), the United States (12%), Argentina (10%) and Russia (4%).
Source: SUNAT / Elaboration: IDEXCAM
It has also been specified that Russia is the world’s leading exporter of wheat, being responsible for no less than 24% of world exports at the end of 2021. Wheat exports from Russia have as main destination markets the countries of Africa and Turkeya country for which imports of Russian wheat represent 85% of total purchases of said product.
Given this scenario, Idexcam urged wheat importing companies to review the procurement contracts for these products and ensure that their suppliers will respect the amounts negotiated for this year.
Source: Larepublica
Kingston is an accomplished author and journalist, known for his in-depth and engaging writing on sports. He currently works as a writer at 247 News Agency, where he has established himself as a respected voice in the sports industry.
