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Abstract

Increasing price volatility of agricultural commodities over the last decade has focused a growing body of literature to identify the influencing factors of price variability. We analyze the effect of increasing wheat export from the Former Soviet Union (FSU) countries to the international wheat market and price volatility. The major wheat producer and exporter FSU countries, Russia, Ukraine and Kazakhstan have experienced increasing share on the international wheat market. An ordinary least square method is applied to estimate the influence of wheat export from Russia, Ukraine and Kazakhstan on the international wheat price volatility. We found evidence of positive relationship between international wheat price and the expanding net wheat export from FSU.

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