The governments of four major wheat producers have restricted exports to protect their domestic supplies and keep food prices in check, says Joe Sowers, U.S. Wheat market analyst.
Ukraine recently announced quotas limiting the country's exports to 3.8 million metric ton (MMT) this marketing year, down from 6.5 MMT last year.
The European Union-25 shortened the validity of their export licenses to two months from four, allowing the government to restrict exports more quickly; a separate notation change leaves open the possibility of export taxes.
Australia banned all exports from its eastern coast and said it is unable to make bids on new sales.
Argentina changed export documentation requirements amid speculation that it will soon limit exports through such other means as an export tax, which has dampened trade activity.
The steps by these producers to limit exports could improve the U.S. position to fill world demand, Sowers says.
Source: U.S. Wheat Associates