From last year 10 to now, there has been a persistent winter and spring drought in the north, which has brought great threat to the growth of winter wheat. The market's expectation of wheat production reduction has increased, and wheat futures prices have been on the rise. Wheat futures prices are higher, which makes the spot market wheat prices implicated. According to China Cereals, Oils and Foodstuffs Information Network, on February 5th, Yuncheng Wheat Wholesale Market in our province, the ex-factory price of grade 3 white wheat produced in Henan Province was 20 10/60 yuan/ton. In Xiangyuan County Grain Sales Center of our province, the purchase price of local secondary white wheat is 20 10, and the wholesale price of standard flour is 2400 yuan/ton. On February 5, 20 10, these three figures were 2070 yuan/ton, 2000 yuan/ton and 2200 yuan/ton, with increases of 4.3%, 5% and 9% respectively.
Persistent drought not only scorched farmers, but also increased the profit pressure of wheat processing enterprises. According to industry insiders, it is impossible for all the tens of thousands of wheat processing enterprises in China to obtain the qualification of targeted sales of wheat at the lowest purchase price. Therefore, if the trend of wheat price increase is determined, it will be inevitable for flour processing enterprises to encounter reshuffle.
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