Country News
Brazil: The smaller corn crop is pushing 2018 prices in Mato Grosso to an all-time high. Meanwhile, the new and higher minimum freight rates will remain in effect until after August hearings. The consultancy AgRural Commodities Agrícolas says that the safrinha harvest is delayed due to a late planting (fill is just now coming to an end) and ongoing mild weather. (AgriCensus)
China: Rainfall brought relief to the drought-stricken north-east corn belt of China. The area is responsible for half the nation’s corn production and the Ministry of Agriculture has already reduced its forecast for this year’s crop by 2.9 percent. Buying interest at the latest corn auction was higher with 26.5 percent sold. (Reuters; AgriCensus)
EU: More rain is needed for the corn crop but hot and dry weather to the east of France is forecast to stay in place for at least the next 6-10 days. (AgriCensus)
India: The government increased the support price for corn by 19.3 percent to US$247/MT. The goal is to guarantee farmers an income that is 50 percent above their cost of production. The world market price for corn is about 45 percent less than the new Indian minimum price. (Bloomberg)
Kenya: The economy is growing faster than predicted, and that is largely due to a surge in producing agricultural commodities like corn. (Bloomberg)
Saudi Arabia: Government grain buying agency SAGO is tendering for 1.5 MMT of feed barley. Delivery is scheduled for September-October in 25 cargoes averaging 60 KMT apiece. The bidding deadline is 6 July. (Reuters)
South Africa: The lower value of the rand is keeping up buying interest, but port delays are slowing the pace of South Africa’s corn exports to Asia. Meanwhile, a larger crop and export competition raises concerns about a larger carryover. (Reuters; AgriCensus)
South Korea: MFG bought corn at $208.80/MT, NOFI bought 69 KMT of corn via tender and FLC and KFA are using private deals to buy more. Purchases now top 2 MMT. (AgriCensus)
Ukraine: Competition from feed wheat is growing and corn exports fell by 14 percent in 2017/18. The grain sector now faces the second rail price hike in the past six months. (AgriCensus)