HAMBURG: The state-run Trading Corporation of Pakistan (TCP) has issued two new international tenders to purchase and import 300,000 tonnes of wheat and 50,000 tonnes of white sugar, European traders said on Monday.
The tenders close on March 16.
Pakistan has regularly bought wheat and sugar in the global market in past months in moves to improve local supplies and cool prices of these commodities.
Fresh tenders had been expected after Pakistan decided on Friday to make no purchases in its previous tenders because of high prices offered.
The TCP is seeking wheat for five shipment periods in April, May, June, July and August 2021.
“I think they will select the lowest prices offered in these months, which could involve a wide spread of shipment periods, but still buy only around 300,000 tonnes,” one trader said.
The TMO reserves the right to buy 5 per cent more or less than the tender volume. Price offers must be for a minimum 100,000 tonnes.
The sugar is sought from worldwide origins packed in bags transported in containers or bulk carriers.
Rapid shipment is sought starting in two weeks plus voyage time after contract award for 10,000 tonnes in containers and/or 25,000 tonnes in bulk, with phased deliveries afterwards.
Pakistan had in July 2020 approved sugar imports to meet a shortage as production fell below consumption levels.
Meanwhile, Pakistani importers have in recent weeks purchased an estimated 594,000 tonnes of soybeans to be sourced optionally from Brazil or the United States for 2022 shipment as strong domestic demand for animal feed continues, European traders said.
Pakistan is currently buying 200,000 to 250,000 tonnes of soybeans monthly due to strong demand for soymeal for poultry, one trader said.
The purchases comprise three consignments each of 66,000 tonnes for February 2022 shipment, four each of 66,000 tonnes for March 2022 shipment and two each of 66,000 tonnes for April 2022 shipment.
“Crush profit margins have come down but buyers in Pakistan are willing to book forward to ensure that they get the soybeans, the trader said.
Published in Dawn, March 9th, 2021