The wheat price increase to around 200 euros/tonne oninternational markets because of the severe drought sweepingRussia, Ukraine, and Kazakhstan, but mostly this year's relativelygood harvest could see revenues of Romanian wheat growers hit thehighest level in five years.
The price of wheat, whose harvest will end this week in Romania,has risen at one of the fastest rates in the last 50 years, by 62%since the beginning of June.
The drought in Russia, a country that produces around 8% of theworld's wheat, has fuelled fears of a worldwide wheat shortage,according to the international press, which discusses the wheatprice trend extensively.
Ranking among the world's top 20 wheat producers, Romania is thisyear in a position to benefit from the high prices.
At an estimated price of 150 to 200 euros/tonne, at which wheatis sold on the Romanian market and exported, producers couldcollect between 750 million euros and one billion euros for anoverall production of around 5 million tonnes of wheat.
The biggest price recorded for Romanian wheat was reached in2007, when wheat was sold at 250 euros per tonne, compared with 93euros/tonne in 2006.
Although the value was high, the volume obtained by localproducers amounted to just 3 million tonnes. This year productionhas almost doubled, and the price keeps going up.
"This is not a high price, it approaches a real price able tocover production costs. This trend will occur quite often from nowon, with the price increase having a psychological effect on buyerswho will no longer ask to buy wheat at 90 euros/tonne, but willstart the offer from 140-150 euros/tonne," said Ştefan Poienaru,owner of Agrofarm Holding in Feteşti, with almost 25 million eurosin turnover in the agricultural sector.
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