The recent NY rally gave shippers an opportunity to sell to the trade which booked some decent differentials. Now, these commitments need to be covered at ECX which have pushed the prices at the Addis Ababa Exchange through the roof to levels way above where shippers sold, Lekempti traded at ECX this week at levels up to 140 c/lb FOB equivalent! Djimmah 5 FOB equivalent was also higher, etc…
Volumes traded at ECX last 3 years at 19th August:
| 19-20 CHANGE | |||||
| MT @ 19 AUGUST | 2018 | 2019 | 2020 | MT | % |
| LIMU/OTHER WASHED | 17,600 | 14,175 | 15,002 | 827 | 6% |
| YIRGACHEFFE | 4,916 | 6,059 | 3,262 | – 2,797 | -46% |
| SIDAMO/GUJI | 19,076 | 20,639 | 8,496 | – 12,143 | -59% |
| Total Washed | 41,592 | 40,873 | 26,760 | – 14,113 | -35% |
| MT @ 19 AUGUST | 2018 | 2019 | 2020 | MT | % |
| SIDAMO | 14,409 | 18,808 | 8,720 | – 10,088 | -54% |
| LEKEMPTI | 35,245 | 36,042 | 30,253 | – 5,789 | -16% |
| DJIMMAH | 36,874 | 30,501 | 33,457 | 2,956 | 10% |
| OTHER NATURAL | 34,322 | 39,421 | 33,548 | – 5,873 | -15% |
| Total Natural | 120,850 | 124,772 | 105,978 | – 18,794 | -15% |
| Total | 162,442 | 165,645 | 132,738 | – 32,907 | -20% |
Forex is also devaluating steadily, 1.5% since the beginning of August, now at 35.85 to the USD.
by Charles Seara Cardoso
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