Country News
Argentina: Competition from Brazil’s safrinha corn crop could force FOB Upriver corn premiums to fall below Chicago futures. Prices are also pressured lower by Argentina’s own large crop, which the Rosario Board of Trade says is 48 MMT, and a peso value that has fallen in half. Farmers are pushing sales for cashflow and have sold 44 percent of their corn. Economics is favoring corn production over soybeans and this is especially true as the government increases the export tax to offset the lower value of the peso. The political and economic uncertainty has farmers concerned. (AgriCensus; FarmLead; USDA/FAS)
Brazil: Celeres kept the corn production forecast at 97.9 MMT but rumors continue calling for 100 MMT. Farmers are locking in 2020 sales as a currency hedge. Corn exports are going to rise but the collapse of a bridge over the Moju River in Para state is expected to impede some grain shipments. Agribusiness consultant Kory Melby says it could take years to rebuild the structure. Livestock producers in the south part of the country will import corn as the safrinha crop in the central region gets exported. (Reuters; AgriCensus; USDA/FAS)
EU: Farmers are expected to increase their sowing of maize area this year in lieu of rapeseed but moisture remains a concern. Strategie Grains expects dryness to reduce barley production. Corn plantings in France topped 16 percent but the early April cold snap hit cereals. (Reuters)
South Africa: The devastating cyclone Idai has prompted imports of 1.1 MMT of corn. (AgriCensus)
South Korea: Buying hit 4 MMT as MFIG bought corn at $107.79/MT from CHS and KFA bought 63.5 KMT of corn at $190.80/MT from CJI. The premium is for multiple port offloading. Buying is now pausing to assess U.S. corn plantings. (AgriCensus; Business Recorder)
Turkey: Government procurement agency TMO announced a 300 KMT tender for corn imports. (AgriCensus)
Ukraine: Corn prices are falling as the new crop is beginning the flush out holdings of the old crop. Still, there is reluctance to sell into India’s non-GMO corn tender for May/June shipment. Corn exports are up 68 percent on the year but have recently collapsed. (AgriCensus)
Vietnam: The ASF outbreak in the hog herd is expected to reduce corn import demand by 7 percent. (USDA/FAS)