Wheat prices at international markets are going down. According to International Grains Council, With further upward revisions for wheat and maize, the forecast for world total grains production in 2016/17 is 23m tones higher month to month. Output is now placed at an all-time peak of 2,069m tones, up by 3% year to year.
Due to abundant harvest, experts expect further decline of prices of wheat. As for the Georgia, which receives wheat imports from Russia. In fact wheat exports from Russia projected at a record 30 million tons.
In July, Russia exported around 2.5 million tons of wheat, and the August figure is projected at between 3 million and 3.2 million tons, according to head of Georgian Producers’ Federation, Levan Silagava Russia expects 110 tones of grain market, from which 70 t is wheat. As for him Russia plans to abolish export fee, that will decline wheat and flour prices.
On a question will wheat and flour prices go down, Levan Silagadze notes that bread produces have the answer, however it is a fact that one bag of first quality flour costs 33-34 laris, whereas it costed 46 GEL last year.
Malkhaz Dolidze, chairman of association told Commersant that market will fix bread prices, one pack of flour costs 36 lari and I do not have seen lower prices. According to him, price of the bread that is distributed from the factory is 40 tetri, and the bread is sold at 50 tetri.