European traders confirm TCP has bought wheat

  • Oct 17, 2020
  • Business Recorder

HAMBURG: A government agency is believed to have bought about 340,000 tonnes of wheat in an international tender that closed on Wednesday, European traders said on Friday. The Trading Corporation of Pakistan (TCP) was estimated to have bought all the wheat at around $284.00 a tonne c&f, they said.

Trading house GTCS had offered $284.00 per tonne c&f as the lowest price in the tender on Wednesday. The TCP traditionally asks other tender participants to match the lowest offer. GTCS is expected to supply 120,000 tonnes of the total. Another 105,000 tonnes will be supplied by trading house Swiss Singapore and 115,000 tonnes by Agrocorp International, traders said.

The wheat can be supplied from optional origins. Shipment must be organised for arrival in Pakistan by Jan. 31, 2021, with the first consignment shipped two weeks after opening of a letter of credit on the deal. Pakistan's government permitted wheat imports in June to cool domestic wheat and flour prices amid tight local supplies. In its last reported wheat tender on Oct. 7, the TCP bought about 330,000 tonnes, all at an estimated $278.50 a tonne c&f.