Ukraine and Russia together account for 28% of world wheat exports. And it goes without saying that the start of the war between the two countries had a considerable effect on the value of this essential cereal.
What kind of impact may we expect on our food products?
Wheat export in jeopardy
If the price of wheat has risen so strongly on the New York Stock Exchange, it is because the conflict on Ukrainian soil could well jeopardize exports of wheat produced in Russia and Ukraine. Dewey Strickler, professor at Ag Watch Grain Market University, said:
We fear interruptions in exports because Ukraine and Russia together constitute some 28% of world wheat exports.
The countries expected to be the hardest hit will be those in North Africa, Ukraine's main wheat customers.
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Other cereals follow the same curve
In the figures, a bushel of wheat, or about 27 kg, for delivery in May 2022, ended up 5.65% at 9.3475 dollars against 8.8475 dollars on Wednesday.
Other cereals such as corn and soy have also experienced their biggest increase since the 2008 financial crisis. Ukraine, which exports 16% of the world's corn, has seen the price of the cereal increase by 2% since the beginning of tensions between Kyiv and Moscow.