European wheat prices fell on Wednesday, as traders assessed the situation at Black Sea ports following Russian and Ukrainian attacks on port infrastructure and vessels.

The daily session of September saw?milling grain on Paris'?Euronext close?down 0.6% to EUR226.50 per metric ton.

One German trader stated that the risk premium caused by the Ukrainians and Russians attacking ports and shipping has reached its level, and prices look pretty stable.

Market participants are reassured that the large Russian grain export terminals at the port of Novorossiysk appear to be operating normally and not under attack. Three major Russian grain terminals restricted truck deliveries citing increased shipping risks after recent 'attacks' and changes in grain shipments after restrictions on the Sea of Azov.

After Russian attacks halted seaport exports of Ukraine's new crops, traders reported that they were considering rerouting the exports via Romanian ports and/or delivery via the Danube River. Land deliveries to Polish Baltic Sea port?were also being considered.

Another trader stated that "this is what happened to Ukrainian imports after the start of the war and before the safe shipping channels?was agreed."

He added: "But Ukrainian truck transportation is in a 'tight supply' - with many vehicles used to transport new crops from the fields, and anyway there is a shortage of drivers due to the large number of Ukrainians who are in the army." Euronext data released on Wednesday shows that non-commercial participants increased their net long positions in Euronext’s milling wheat options and futures to 144,577 contracts from 111,938 the week before. (Reporting from Sybille De La Hamaide and Michael Hogan, Hamburg; editing by Shreya Biwas)

(source: Reuters)