November 7, 2011

Vietnam has purchased three bulk cargoes amounting to 100,000 tonnes of Australian feed wheat over the week, mostly for shipment between December 15 and end-February to Cai Lan and Cai Mep ports, trading executives said Friday (Nov 4).

Importers were paying between US$270-$274/tonne on a cost-and-freight basis.

In the last three days, several major suppliers were very active in selling feed wheat to Vietnam, said a Ho Chi Minh City-based trader tracking the deals.

East Asian buyers are snapping up Australian feed wheat cargoes due to the latest slump in prices amid a bumper harvest and large inventories.

Australia was saddled with multi-year-high wheat stocks of 8.6 million tonnes on October 1 and stocks will be little changed a year later despite strong exports, the International Grains Council said last week.