According to Iurie Rija, director of the “Agrocereale” association, “today in Giurgiulești, the price of wheat has risen to 3.40 lei/kg, which is equivalent to $194/metric ton.” According to the expert, this price trend is not coincidental.
“The increase reflects a temporary deterioration in logistics flows in the northeastern part of the Sea of Azov. The ports of Rostov, Azov, and Taganrog operate on channels about 5 meters deep, which limits access for large seagoing vessels and forces the use of river or coastal vessels for loading. These ports serve as a natural outlet for a significant portion of agricultural produce from southern Russia, a region where approximately one-quarter of grain production destined for export is concentrated. “When shipping becomes more difficult or logistics costs rise, part of the market demand shifts to more accessible regions—Ukraine, Romania, and, indirectly, the Republic of Moldova,” says Iurie Rija.
Some traders point out that the new “Azov Sea blockade factor” has compounded the still-unresolved problem of a delayed harvest in Moldova and the Black Sea region as a whole.
“All of this, presumably, is causing concern among some traders regarding the fulfillment of deadlines for ‘hot’ contracts; accordingly, they are raising purchase prices for wheat for specific export shipments to mitigate risks,” ” one of Moldova’s major grain market operators told Logos Press. “We purchase wheat under forward contracts with farmers at a price of 2.8–3.15 lei/kg ‘at the farm gate.’ But if market conditions change, we follow the market.”
