Jordan Secures 60,000 Tonnes of Wheat at Competitive Prices
- Jordan’s MIT purchased 60,000 tonnes of random-origin milling wheat at $273.99/tonne C&F, covering 50% of its 120,000-tonne tender.
- Cargill won the tender with the lowest offer, beating four major competitors by $1.41–$10.50/tonne.
- Delivery is scheduled for August 16–31 to Jordan’s Aqaba port, setting a benchmark for late-summer wheat pricing.
- Partial fulfillment of the tender suggests comfortable stocks or expectations of improved pricing in upcoming tenders.
Market Update
Jordan’s state grain buyer, the Ministry of Industry and Trade (MIT), has purchased about 60,000 tonnes of random-origin milling wheat in an international tender held on April 21. The cargo was awarded to Cargill at a price of $273.99 per tonne C&F for shipment to Aqaba port, with delivery scheduled between August 16 and 31.
The tender aimed to secure up to 120,000 tonnes but concluded with only half the targeted volume booked. This outcome indicates that Jordan is partially covered for its milling wheat needs for the late-summer window, while still leaving room to test future market conditions for additional volumes.
Tender Pricing Detail
| Trader | Price ($/tonne C&F) | Premium to Winning Bid |
|---|---|---|
| Cargill | $273.99 | Winner |
| CHS | $275.40 | +$1.41 |
| Bunge | $281.00 | +$7.01 |
| Dreyfus | $282.00 | +$8.01 |
| Ameropa | $284.49 | +$10.50 |
The tight spread between the winning bid and competing offers underlines the strong competition among major global grain houses for Jordanian demand. The $273.99/tonne C&F level now serves as a reference point for August shipment wheat into the Eastern Mediterranean.
Market Analysis
Neutral to Slightly Bearish for Black Sea Wheat: The achieved C&F price indicates that global wheat supply is currently sufficient to generate aggressive offers for Jordan’s tender. For Black Sea exporters, this benchmark may exert mild downward pressure on forward offers for August shipment, especially if they are unable to align FOB levels plus freight with the $273.99 C&F mark.
By securing only 50% of the planned 120,000-tonne volume, Jordan appears comfortable with near-term inventory or confident about potential price softness ahead. The random-origin specification further emphasizes that price, rather than origin, is the key decision driver, intensifying competition among Black Sea, European, and other origins for upcoming tenders.
Going forward, traders will likely treat this tender as a pricing benchmark for Eastern Mediterranean demand in the late-summer window. Any deterioration in crop prospects or logistical constraints in key exporting regions would be needed to shift the tone from neutral to more firmly bullish.
Source: Market Data
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