PARIS: European wheat fell to a six-week low on Tuesday on a lack of demand and strong competition from cheap Russian origins, traders said.
Benchmark December milling wheat on Paris-based Euronext was down 1.9% at 235.75 euros ($255.74) a metric ton by 1610 GMT, a price not seen since July 14.
“Cheap Russian prices in export markets continue to depress sentiment with demand thin,” one German trader said. “Russian wheat continues in reality to be offered for export at well below the unofficial state export prices.”
Despite rumours that Russia’s minimum price for FOB (free on board) export sales stood at $260 a ton and $270 for international tenders, Russian sales were still made at about $240 a ton FOB, one trader said.
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