PARIS: European wheat prices ended the week lower after Russia announced it would scrap its export duty for two years, but they were still supported by technical elements and a rebound in Chicago, traders said.

Benchmark December milling wheat on Paris-based Euronext, settled 0.3 percent lower at 161.50 euros a tonne. It lost 1.5 percent over the past week.

Russian Prime Minister Dmitry Medvedev announced on Friday that the government had approved scrapping duties on wheat exports for two years, RIA news agency reported. The agriculture ministry had already proposed introducing the zero duty policy from Sept. 15 until July 1, 2018.

The measure will widen the door to wheat exports from Russia, one of Europe’s biggest competitors on the world market.

Maize prices rose after the release of FranceAgriMer’s latest crop ratings which said only 60 percent of the crop was now in good or excellent condition, down from 63 percent last week.

German cash market premiums in Hamburg slipped on weak demand.

Standard wheat with 12 percent protein content for September delivery in Hamburg was offered for sale at 1.5 euros over the Paris December contract, against 2 euros over euros over on Thursday. Buyers were seeking 1 euro over Paris.

“Wheat harvesting is finishing now in the final northern areas and Germany does not seem to have suffered the same problems as in France,” a German trader said. “Quality is not as good as hoped but is decent.”

“The main quality problems are in southern areas like Bavaria, Baden-Wuerttemberg and the Rhine valley. Quality varies a lot but in the north and east things are looking ok.”

Poland, a major supplier of wheat to German mills, is also likely to achieve reasonable export supplies despite summer rain damaging the harvest, he said.—Reuters