Egypt decided to buy wheat from France and Bulgaria instead of Russia. Purchases of the product from Kazakhstan are also being considered, Bloomberg writes.
According to media reports, Egypt will buy half a million tons of wheat from France and Bulgaria after Moscow blocked supplies of Russian grain. It is noted that this is the second case in the last few months when the purchase of Russian wheat was disrupted due to the Russian Federation’s attempt to establish an unofficial minimum price level.
Reuters also adds that Egypt is considering grain supplies from Kazakhstan and is already negotiating with a bank based in Abu Dhabi. The price of grain and its quantity, as well as the terms of the loan, are still being discussed, the agency reports.
According to Kommersant, Russian grain ports are overcrowded after two years of record harvests, making Russia the dominant shipper and price setter in the global grain market. However, excess supply is putting pressure on local prices, prompting officials to introduce minimum prices to support the market.
Let us recall that on September 4, Egypt’s main supply department agreed with a private trader to purchase 480 thousand tons of Russian wheat at $270 per ton, including freight. Egypt later announced that Solaris would be responsible for grain supplies.
Source: Rosbalt
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