Country News
Argentina: The Bolsa de Comercio de Rosario predicts that corn planted area will fall 7 percent in the 2020/21 cycle and a dwindling corn export surplus is tightening up tight the supply outlook. (AgriCensus)
Brazil: SECEX estimates corn exports at 1.7 MMT, for an average of 133,000 KMT/day or half the daily volume of a year ago. Corn exports in the third week of July more than doubled with China’s Cofco heating up the market. Total July corn exports are forecast at 5.6 MMT. Meanwhile, IMEA says a weak Real is raising the cost of farmer inputs. (AgriCensus)
China: The domestic corn price has been soaring with some processing facilities paying RMB2,400 to 2,600/MT (USD 342 – 371/MT). The most-active Dalian corn contract broke through RMB2,200/MT (USD 314/MT). Imported corn is RMB600/MT (USD85.65) cheaper than domestic corn. Customs data shows that June imports included 880 KMT of corn and 680 KMT of sorghum, both up over a year ago. China’s latest sale of stockpiled corn involved the second highest volume of 2020 and netted an average price of RMB2,107/MT ($288/MT). The Ministry of Agriculture and Rural Affairs is warning against hording corn, but the main constraint is logistics. (JCI; Refinitiv)
EU: Late rains will boost yields for corn in Europe and the port of Rouen has been busy loading barley for export to China and Mexico. Bulgaria planted a record 584 KHa of corn but dry conditions will result in a 3.9 MMT crop, versus 4 MMT last year. The same dry weather will cause barley output to fall 14 percent below last year. (FarmLead: AgriCensus; FAS/GAIN)
Iran: Sanctions have limited the country’s ability to make payments and will slash corn imports by 50 percent. State grain buyer SLAL took 200 KMT of corn for Sep delivery. (AgriCensus)
Mexico: The volume of 2019/20 corn imports are expected to decrease due to higher domestic production. Favorable weather will boost corn production to 26.1 MMT, causing imports to fall to 16.5 MMT with ending stocks hitting 2.31 MMT. (FAS/GAIN)
Saudi Arabia: State grain purchasing company SAGO bought 725 KMT of feed barley at $211.43/mt CIF for Oct/Nov delivery. (AgriCensus)
South Korea: Private purchasing of corn included 208 KMT; NOFI tendered for Nov/Dec corn imports and purchased from Cargill; MFG bought two more corn cargoes at $188.74/MT; Kocopia purchased corn at $196/MT; KFA passed on a tender. (AgriCensus)
Ukraine: Barley exports were up week on week but remain behind the 2019/20 level. (AgriCensus)