SAO PAULO: Brazil is poised to register record wheat shipments for January as local suppliers continue to fill the void left by major exporters Russia and Ukraine because of the ongoing war, industry sources told Reuters.
The combination of a bumper harvest and production hiccups in Argentina due to a drought also bolstered Brazilian exporters, particularly in Rio Grande do Sul, the country’s biggest wheat producer, they said.
Based on shipping schedules, the National Association of Cereal Exporters (Anec) projected wheat exports at 803,800 tons for January.
If confirmed, the volume will represent a new historic high for the month, compared to the previous record of 695,900 tons registered in January 2022, according to Anec data.
“Brazil is a big producer and exporter of grains. As you earn credibility from the soybean trade, you begin to expand to other products,” Anec Director-General Sergio Mendes told Reuters.
According to Mendes, grain importers see Brazil as a reliable supplier, and this favors exporters.
Indonesia, Saudi Arabia and Sudan buy around 50 percent of Brazilian wheat exports. Vietnam is also a prominent buyer, Mendes noted.
“The maintenance of shipments to these countries with whom we maintain good commercial relations leads to the belief that things are progressing,” Mendes said about Brazil’s inroads in global markets.
StoneX, a consultancy, projects Brazilian shipments of 3 million tons of wheat for the 2022/23 season, from August 2022 to July this year, stable from the previous cycle’s record.
Brazil’s growing wheat exports, however, still pale in comparison to Ukraine’s 13 million ton export estimated by United States Department of Agriculture for the 2022/2023 season.
Over the entire 2022/23 July-June marketing season, world top exporter Russia faced complications to sell wheat because of Western sanctions.
But despite Russia’s involvement in the war, its wheat export forecast for 2022/2023 is estimated at 44.1 million tons, representing a 10 million ton rise from the previous cycle, according to SovEcon agriculture consultancy.
Brazil wheat making strides in global markets amid Russia-Ukraine conflict
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Brazil wheat making strides in global markets amid Russia-Ukraine conflict
- Indonesia, Saudi Arabia and Sudan buy around 50 percent of Brazilian wheat exports
Ma’aden forms JV with Hancock for mineral exploration across Saudi Arabia
RIYADH: A new joint venture aimed at accelerating mineral exploration across Saudi Arabia has been formed under a shareholders’ agreement between Saudi Arabian Mining Co., known as Ma’aden, and Australia-based Midana Exploration Pty Ltd, part of Hancock Prospecting.
According to a regulatory filing, the initial work will focus on the Nabita–Ad-Duwayhi Gold Belt, following a successful bid for exploration licenses awarded by the Ministry of Industry and Mineral Resources. The licensed areas span more than 24,000 sq. km of mineral-rich territory.
The partnership comes as Saudi Arabia steps up efforts to expand its mining sector as a pillar of economic diversification, encouraging international participation and private investment to unlock the Kingdom’s estimated $2.5 trillion in untapped mineral resources under Vision 2030.
The government has accelerated licensing rounds and increased exploration incentives to boost geological mapping and downstream development.
In a Tadawul filing, the company stated: “Maaden will own 50.1% of the capital of the Joint Venture, whilst Hancock will own 49.9% of its share capital.”
It added: “The objects of the Joint Venture will include exploration, development, mining, sales and marketing of minerals in licensed areas in the Kingdom.”
The shareholders’ agreement was signed on Dec. 29, with no defined duration. The initial share capital of the joint venture will be $5 million. The entity will also approve budgets and business plans for its exploration and development operations on an ongoing basis.
The transaction remains subject to regulatory and antitrust approvals. No related parties were identified, according to the disclosure.
Shares of Ma’aden were trading at SR61.95 as of 2:15 PM Saudi time, reflecting a 0.32 percent decline during the day.
Saudi Arabia has significantly ramped up its mineral exploration activity in recent years, with spending rising to SR487 per sq meter — more than double the Vision 2030 target.
This marks a 600 percent increase over the past seven years, underscoring the Kingdom’s accelerated efforts to map its geological potential and unlock critical mineral resources.
In 2024 alone, total exploration expenditures surpassed SR1.05 billion, supported by both government and private sector funding. The increase reflects Saudi Arabia’s strategic push to position mining as a central pillar of economic diversification under Vision 2030.
