Country News
Argentina: Corn exports have not been as strong due to the mismatch of the harvest/strong demand that has caused price premiums to ignite. (AgriCensus)
Brazil: Drought in the Parana region has prompted another cut in the corn output estimate. The export tax continues to irritate corn farmers in Mato Grosso. (AgriCensus)
Canada: Good domestic demand and strong exports have kept barley prices higher. Feed barley at Lethbridge, AB is netting $255-257 CAD/MT (C$5.55-C$5.60/bushel) but selling and moving leftover product by mid-March when “Spring Thaw” road bans are initiated is recommended. This is especially the case since lower demand in China is pushing barley prices lower. (FarmLead)
China: Corn prices jumped 1.6 percent to 1,863 yuan ($275.54) per ton after the National Food and Strategic Reserves Administration announced that it would begin purchasing corn to support producer prices and income. The Dalian Exchange launched its corn options contract in the latest expansion. (Reuters; AgriCensus)
Indonesia: The government’s Bulog bought 139 KMT of corn from South America at a tender. (AgriCensus)
Jordan: Falling barley prices encouraged Jordan to buy another 60 KMT but hold back on acquiring all its needs due to better prospects looking forward. (AgriCensus; FarmLead)
South Africa: The Crop Estimates Committee (CEC) previously lowered the forecasted corn planting area to 2.269 million hectares due to the drought. That was a 2 percent decline in area from the 2017/18 season. Now it is believed the CEC will reduce the projected area planted to corn by 14 percent to 1.988 million hectares based on a survey of traders by Reuters. A Bloomberg survey splits production at food staple white corn on 1.26 million hectares and yellow feed corn on 1.01 million. Meanwhile, the rand has been weakening. The South African Grain Information Service says the country burned through 1 MMT of maize in December alone. (AgriCensus; Reuters; Bloomberg)
South Korea: KOCOPIA purchased another 60 KMT of corn, paying $212.20/MT. AgriCensus)
Sri Lanka: Devastation from fall army worms will force the country to import corn. (Reuters)
Ukraine: Corn prices firmed as buyers bought on concern that logistical limitations in March would force prices higher. A projected limit on rail cars sent corn up $2.50 for the week to $181.25/MT FOB. Prices rose $11/MT last year due to logistical hurdles. However, world prices cap CPT corn from going much higher. (S&P Global Platts; AgriCensus)
World: The International Grains Council (IGC) increased its forecast for 2018/19 world corn production by 3 MMT to 1.076 billion. Some of the larger IGC changes include a 2 MMT increase in corn production in Ukraine and a 3.5 MMT increase in the EU. The Alltech Global Feed Survey indicates world corn production in 2018 was 1.103 billion tons, the third year in a row that production has exceeded the one billion mark. World demand for feed has been growing at an average 2.76 percent for five years. (AgWeb; World-Grain)