12:17, 31.08.2009 — Новости
автор: OilWorld.Ru

DJ China Wheat Prices Up As Weather Gets Cooler, Schools Reopen (ENG)


BEIJING (Dow Jones)--Wheat prices in China's major producing areas were
higher in the week to Monday as demand for flour picked up due to cooler
weather and schools reopening after the summer break.

  Wheat prices in Hengshui in Hebei province were at CNY1,920-CNY1,940 a metric
ton compared with CNY1,920/ton a week earlier.

  Wheat prices in Dezhou in Shandong province were at CNY1,910-CNY1,920/ton,
higher than CNY1,890-CNY1,900/ton.

  Demand for flour is rising as consumption of flour-based foods normally
increases with the weather turning cooler and as schools reopen following the
long summer vacation, during which school canteens are closed or see little
demand.

  The coming National Day holiday and mid-autumn festival in October also
helped boost demand.

  But analysts said wheat prices are unlikely to rise further in the near term
as this year's government purchases of wheat at set minimum prices are nearing
an end.

  As of Aug. 25, the government had bought 39.42 million tons of new wheat
under the minimum purchase prices program, down 350,000 tons from the same
period last year.

  Last week, the government sold 205,600 tons of wheat it bought under the
program in previous years, or 14% of the 1.49 million tons it planned to sell.

  Wheat prices are likely to remain high as demand for flour is picking up, the
Chinese Grain Network said in an analysis report.


  -Zheng Xiaolu contributed to this story, Dow Jones Newswires; 8610 6588-5848;
tracy.zheng@dowjones.com


  

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