HAMBURG: The state-run Trading Corporation of Pakistan (TCP) is believed to have bought some 575,000 tonnes of wheat in an international tender, European traders said on Thursday.

The TCP was believed to have purchased all the wheat at $383.50 c&f after several trading houses agreed to match the lowest price offered in the tender on Monday, traders said.

They said they believed trading house Cargill sold 290,000 tonnes. Cargill had submitted the lowest offer of $383.50 c&f in the first round of the tender.

Trading house Agrocorp was said to have sold 60,000 tonnes, Falconbridge sold 120,000 tonnes and CHS 105,000 tonnes.

Import of 50,000 tonnes of sugar approved

The wheat can be sourced from optional origins. Shipment in the tender was sought between Nov 11 and Dec 30.

Pakistan has bought wheat regularly in the global market in recent months in an effort to boost domestic supply and cool prices.

Another tender from Pakistan for 640,000 tonnes of wheat closes on Sept 29.

In its previous wheat tender on Sept 10, the TCP bought 405,000 tonnes from optional origins all at $369.50 a tonne c&f.

However, the TCP had made no purchase in an international tender for 200,000 tonnes of white sugar which closed this week, European traders said on Thursday.

Only one offer had been reported in the tender on Monday at $670.00 a tonne c&f, up from the $637.10 tonne c&f Pakistan paid in its last sugar purchase reported on Aug 31 after sugar futures hit 4-1/2 year highs in September.

Traders said the rapid delivery sought reduced participation in the tender. Fast delivery was sought with shipment of the first 25,000 tonnes being undertaken in only 15 days plus voyage time after opening of a letter of credit on the contract.--Reuters

APP adds: Meanwhile, the Economic Coordination Committee (ECC) of the Cabinet on Thursday approved to import 50,000 tonnes of sugar to maintain sufficient stock in the country.

The ECC approved to import sugar in three segregated tenders of 50,000 each so that there is more participation and increased competition when international prices fall down, said a press release issued by Ministry of Finance.

Finance Minister Shaukat Tarin chaired the ECC meeting.

Industries and Production Secretary Jawwad Rafique Malik briefed the the ECC meeting, which was chaired by Finance Minister Shaukat Tarin, about availability of sufficient stocks of sugar.

He further apprised about the steps being taken to import sugar for building strategic reserves.

Mr Tarin emphasised to ensure smooth supply of sugar throughout the country and directed to initiate crushing by sugar mills in the beginning of November as was done last year.The ECC accorded approval for the lowest bid received for award of fourth international wheat tender for FY22 to import 120,000 tonnes of wheat as tabled by the Ministry of National Food Security and Research.

The ECC also considered and approved another summary presented by the Ministry of National Food Security and Research for purchase of 40,000 tonnes of wheat from Pakistan Agricultural Storage & Services Corporation (Passco) by the World Food Programme (WFP).

Published in Dawn, September 24th, 2021