India’s wheat exports may pick up this year. The reason for this is the Russia-Ukraine war. Russia and Ukraine are the world’s biggest wheat exporters. Russia ranks first in the world in exporting wheat, while Ukraine is the fifth largest exporter.
Wheat exports may be affected due to rust. Due to this, the inquiries of buyers have increased near India.
Ukraine has emerged as a major grain exporter in the last decade. It was expected to be number three in the world this year, but the Ukrainian military has suspended commercial shipping at its port, which is set to affect grain and oilseed exports.
In such a situation, apart from India, Australia can also become the top supplier of wheat in the world.
Kazakhstan depends on Russia, and Yemen depends on Ukraine
Kazakhstan, Georgia, Turkey, Egypt and Pakistan are the top 5 countries that import wheat from Russia. On the other hand, countries like Yemen, Libya and Lebanon, which are already going through war, depend on Ukraine for their grain.
Yemen imports 22% of its consumption from Ukraine. Libya imports about 43% of its wheat and half of its consumption from Ukraine. This confrontation can further increase instability in these countries.
India has a massive stock of wheat
After five consecutive record crops, India has a massive stock of wheat. However, due to the unfavorable global rate of wheat, its shipment was hampered. Nitin Gupta, vice president of Olam Agro India, told Reuters that the Black Sea belt is the world’s largest wheat supplier.
Still, given the current uncertainty, demand will shift to India. Moreover, the availability of wheat in the world market is limited to April-May, and India can easily take advantage of this opportunity.
For the first time, so many inquiries for wheat of India
Traders said that India had exported 61.2 lakh tons of wheat in 2021. There is a possibility of selling 4 million tons of food grains in the first half of 2022. The head of a global trading firm said, “For the first time in many years, there have been so many inquiries for wheat from India.”
Indian suppliers were exporting wheat at $305 to $310 a ton. This time they can get a rate of $ 330 per ton. Bangladesh, the Philippines, South Korea, Sri Lanka and UAE are among the primary buyers of Indian wheat, but new buyers like Lebanon may also move to India.
Published By – Vanshu Mehra
Edited By – Kritika Kashyap
