Sea trade Group of Pakistan

62752294350b84ac50e103Sea trade Group of Pakistan will export100,000 tons of wheat to Iran.

The shipment is expected to be made by the end of January 2013 or early February 2013, according to Reuters.The grain will be issued by the Pakistan Agricultural Storage and Services Corp. (PASSCO).

In Iran, the private sector usually handles wheat imports. Due to the disruption to trade financing caused by Western sanctions aimed at Iran’s disputed nuclear program, the Iranian government has decided to help the private sector in buying wheat this year.

“It seems the (Iranian) government doesn’t have the money for the million ton shipment”, an unnamed director at Seatrade Group told Reuters.”The tender was initially for 1 million tons but the contract is only for 100,000. PASSCO said only 100,000 had been approved because of the financing factor.”

Director added: “We were supposed to give wheat and take iron ore for Pakistan’s steel mills and fertilizer in return. The other 900,000 tons wheat is still under discussion and might be done on the private market.”