EU wheat hovers around contract low as export competition weighs

PARIS, Nov 25 (Reuters) - Benchmark wheat futures on Euronext were little changed on Tuesday, hovering around a contract low as a rise in the euro kept attention on export competition in a well-supplied global market.

A U.S. diplomatic push to end the war between Russia and Ukraine was adding some background pressure, though the impact was much more limited than on oil, dealers said.

March wheat BL2H6, the most active contract on Paris-based Euronext, settled unchanged on the day at 190.25 euros ($220.16) a metric ton. It earlier fell to 189.75 euros, equaling for a second consecutive day a life-of-contract low first set on October 16.

Bumper crops being harvested in Australia and Argentina are set to swell global wheat supply, stiffening competition for European wheat already faced with brisk shipments of competitively priced Russian crop.

Signs of Ukrainian support for the outline of a U.S. peace plan sent crude prices sharply as it increased the chances of Russia regaining access to the world oil market. O/R

A potential ceasefire was not seen having a significant effect on grain flows, but was reinforcing a bearish mood.

"Russian wheat is already being shipped everywhere, which isn't the case for oil and gas," a futures dealer said. "There is a headline effect inevitably but the Russians are already exporting 5 million tons of wheat a month."

Weekly European Union data showed the bloc's soft wheat exports so far in 2025/26 were down 5% from a year ago, though this season's volume lacked two days of figures for the latest week, the European Commission said on Tuesday.

In Poland, prices firmed in the past week as a delayed corn crop triggered demand for feed wheat, while farmer selling was slow given overall low prices.

Polish 12.5% protein wheat for prompt delivery to ports was about 800 zloty (187 euros) a ton, up about 15 zloty on the week.

"Poland's corn harvesting is going slowly due to drying facilities working at full capacity, which is limiting deliveries to the ports," one Polish trader said.

In Gdansk/Gdynia, one ship is loading 33,000 tons of wheat and another 30,000 tons, both for unknown destinations. One ship has just sailed with 27,000 tons to Namibia.

In Szczecin, one ship is loading 35,000 tons of wheat also for an unknown destination.

($1 = 0.8642 euros)