MMTC receives wheat supply offers at $397-488 per tonne
Eight companies, including Glencore, Cargill and Concordia Agritrading, are participated in bidding.
By PTI |
NEW DELHI: Public sector trading firm MMTC, which is importing up to 3.5 lakh tonnes of wheat, on Monday received seven valid bids from global suppliers in the range of $397-488 per tonne. The prices quoted by the overseas suppliers to MMTC's tender are higher than $389.45 a tonne at which the government bought 7.95 lakh tonnes in the last round of tender.
"Eight companies, including Glencore, Cargill and Concordia Agritrading participated in the bidding and offered to supply imported wheat at $397.03 and $487.95 per tonne C&F," a trade official said.
The tender document of Starcom was not considered.
AWB (formerly Australia Wheat Board), which supplied huge quantities of wheat last year to India, has also placed its bid for the first time this year.
MMTC has received offers of 10.15 lakh tonnes of wheat, the source said. MMTC had floated a global tender on November 12 to import wheat to augment the Centre's buffer stock. The decision on the tender is likely to be taken by November 24. The new tender is for delivery by February 10, through eight ports — Mundra, Kakinada, Kandla, Chennai, Vishakhapatnam, Tuticorin, Cochin and Mumbai. The global suppliers have quoted the lowest price for wheat to be delivered at Mundra port but have quoted higher rates for delivery at other ports, the source said.
Glencore has offered to supply the maximum quantity of 3.25 lakh tonnes of imported wheat at $407 per tonne at Mundra while Cargill has offered 65,000 tonnes at lowest price of $397.03 a tonne (Rs 1,560 per quintal) at the same port.
The government plans to import 10 lakh tonnes of wheat through MMTC, PEC and STC over and above the 13 lakh tonnes that have been contracted this year through two rounds of tender. The last deal was struck in September at a weighted average price of $389.45 per tonne. PEC and the STC are to follow MMTC with import tenders of their own, once the quantities under the MMTC tender are finalised. Shipments are expected to be tied up for between December and March.
This is the second year in running that the government is importing wheat. Last year, it bought 55 lakh tonnes from overseas markets.
The wheat buffer stock stood at 101.21 lakh tonnes as of October 1 against the stipulated 110 lakh tonnes.
"Eight companies, including Glencore, Cargill and Concordia Agritrading participated in the bidding and offered to supply imported wheat at $397.03 and $487.95 per tonne C&F," a trade official said.
The tender document of Starcom was not considered.
AWB (formerly Australia Wheat Board), which supplied huge quantities of wheat last year to India, has also placed its bid for the first time this year.
MMTC has received offers of 10.15 lakh tonnes of wheat, the source said. MMTC had floated a global tender on November 12 to import wheat to augment the Centre's buffer stock. The decision on the tender is likely to be taken by November 24. The new tender is for delivery by February 10, through eight ports — Mundra, Kakinada, Kandla, Chennai, Vishakhapatnam, Tuticorin, Cochin and Mumbai. The global suppliers have quoted the lowest price for wheat to be delivered at Mundra port but have quoted higher rates for delivery at other ports, the source said.
Glencore has offered to supply the maximum quantity of 3.25 lakh tonnes of imported wheat at $407 per tonne at Mundra while Cargill has offered 65,000 tonnes at lowest price of $397.03 a tonne (Rs 1,560 per quintal) at the same port.
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The government plans to import 10 lakh tonnes of wheat through MMTC, PEC and STC over and above the 13 lakh tonnes that have been contracted this year through two rounds of tender. The last deal was struck in September at a weighted average price of $389.45 per tonne. PEC and the STC are to follow MMTC with import tenders of their own, once the quantities under the MMTC tender are finalised. Shipments are expected to be tied up for between December and March.
This is the second year in running that the government is importing wheat. Last year, it bought 55 lakh tonnes from overseas markets.
The wheat buffer stock stood at 101.21 lakh tonnes as of October 1 against the stipulated 110 lakh tonnes.
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