Global wheat prices shoots up after India announces temporary ban on wheat exports

17 May 2022 , 08:56 AM

As was expected, global wheat prices rose after the announcement of the ban on wheat exports by India, for the time being. In the European wheat market, the price of wheat rose to Euro 435 per tonne. One tonne has 1000 kgs. Supply chain disruptions in wheat happened after Russia attacked Ukraine.

Ukraine caters to around 12% of the global wheat demand.

The Indian government has banned wheat exports to divert supply to the domestic market. It has done so to control rising food inflation in India. General elections in India are less than 2 years away. The Indian government is therefore even more concerned about rising inflation.