Country News
Australia: Australian barley exports in 2014/15 are expected to drop by 25 percent to total 4.7 MMT this year, according to Reuters.
EU: A combination of low prices and decreased competition have set EU barley exports on the path to a record year, led by strong French exports of feed barley to China, reports Reuters. France’s Strategie Grains has increased its monthly estimate for EU barley exports in 2014/15 by 400,000 MT to total some 7.9 MMT, which is a marked increase over the 5.7 MMT exported last year. Of that total, 1.62 MMT is slated to go to China, which is up from the 112,000 MT sent there in 2013/14. They went on to predict that next year’s exports could reach 8.1 MMT, with 2 MMT slated for China.
Further, the UK has shipped its first bulk shipment of feed barley to Japan, while Germany is increasing exports to Saudi Arabia.
Ukraine: The Agriculture Ministry has announced that it stands ready to impose measures to defend local grain markets if a sharp devaluation in the hryvnia causes exports to increase dramatically, according to Reuters. In the last week, the hryvnia has lost 30 percent of its value against the dollar as Ukraine’s Central Banks moved toward a free-float. Domestic grain is priced in dollar equivalent, which has raised fears that traders could opt to export grain instead of keeping it for domestic consumption. Ukraine has exported 22 MMT of grain so far this season, with 9.2 MMT of that being corn and 3.8 MMT being barley.
South Africa: Continued hot and arid conditions over the coming two weeks will likely dictate food prices for the coming year, reports Bloomberg News. Yellow corn futures for July delivery dropped to $204.81/MT.