Odesa – high yields and the need to replenish working capital forced farmers to sell their barley stocks as soon as possible.
Consequently, this has led to long queues at ports and falling purchase prices. Hot and dry weather forecasts for the next 7-10 days will accelerate the harvest throughout the country and increase barley supply.
Moreover, an additional factor of pressure on prices this season was the sea freight increase by 50-80% due to rising oil prices and the resumption of international trade after the lockdown.
But the prices drop attracted more buyers to the market. Chinese buyers activity and new big tenders from Turkey and Jordan stopped the decline in prices for barley.
For reference, during last month, barley purchase prices in main Ukrainian ports went down by around 40usd/t. Now it comes to stay at 190usd/t level CPT Odesa port.