Market for Russian wheat expands; shipments to Sudan surge
Russia is edging out competitors as it further expands its wheat exports across the globe, reports Bloomberg News.
Its shipments to Sudan, for example, have jumped 87% this season. Sudan started importing wheat from Russian only in 2014, and by 2016-2017, Russia was Sudan's biggest wheat supplier, with the EU trailing behind.
The African country is now Russia's seventh-largest customer of its wheat, the report said, citing figures from the Institute for Agricultural Market Studies. It is set to become the fifth-largest this season, based on data compiled by the US Department of Agriculture, Bloomberg reported.
The report said that the shifts among consumers, along with a third straight bumper crop and a weakened ruble, have allowed Russia to send wheat grown in the Black Sea region to markets as far away as Indonesia.
Russia's wheat market expansion has cut into the market shares of traditional suppliers including the US, the EU and Australia.
"Competitiveness of Black Sea origin is the main reason Russian wheat has displaced Aussie origin into Sudan", Tom Basnett, general manager at commodity consultant Market Check in Sydney, was quoted as saying.