Indian traders sell up to 750,000 T new season wheat-sources

Last Updated: Tue, Feb 19, 2013 10:00 hrs

NEW DELHI, Feb 19 (Reuters) - Indian traders have jumped in to take advantage of attractive global prices by sealing deals to export up to 750,000 tonnes of the new season wheat, three trade sources said on Tuesday, kicking off overseas sales for the harvest to begin in March.

While private traders have struck deals for 500,000-750,000 tonnes at $295-$300 a tonne free on board, the government is still dragging its feet on allowing extra exports from its overflowing grain bins to make room for this year's crop.

Indian farmers are expected to harvest another bumper crop this year after a record 95 million tonnes in 2012. Domestic demand runs at around 76 million tonnes.

The private trade contracts are for April-June shipments for buyers in South Korea, Taiwan, Thailand, Malaysia, Indonesia and Vietnam, and 80 percent of the contracted quantity is feed wheat, one of the sources said.

The global trade in feed wheat is around 30-40 million tonnes a year and total wheat trade is about 140 million tonnes.

All three New Delhi-based sources work at the Indian units of global trading companies and are actively involved in these deals.

(Reporting by Mayank Bhardwaj; editing by Jo Winterbottom)

More from Sify: