Country News
Argentina: Rosario, Argentina’s largest grain exporting port, could remain blocked for a week after a ship ran aground in the port’s main channel on the Parana River, according to Bloomberg News. The ship in question has been stuck aground since March 11 and is delaying shipments to 18 vessels that either cannot enter or exit the port. This hold up has a daily cost of around $450,000 or $3.2 million for the week.
Japan: The Ministry of Agriculture has announced that it will import 25,000 MT of feed wheat and 70,000 MT of feed barley as a result of an auction that closed on Wednesday, according to Reuters. The ministry had sought 120,000 MT of feed wheat and 200,000 MT of feed barley and will seek the same amounts in a tender closing March 19.
South Africa: Yellow corn prices rose to their highest level in three weeks to 209.67/MT over fears that political unrest may disrupt Ukrainian corn shipments, according to Bloomberg News. Ukraine is the second largest supplier of South African corn imports and accounts for 36 percent of all imports since September 2013.
Ukraine: Continued political unrest is forcing Middle Eastern buyers of Ukrainian grain to be hesitant to purchase grain for July shipments, reports Reuters. Ukraine has long been the premier barley supplier for Middle Eastern markets, but fears that simmering tensions with Russia could boil over has importers turning their eyes elsewhere. It is predicted that switching to other sources will substantially increase Middle Eastern import bills, with some commodities traders calling for an increase of $150/MT.
On the other hand, Bloomberg News is reporting that the political unrest has done nothing to discourage Chinese investment in Ukraine. China Export-Import Bank has indicated that it has no plans to abandon project funding in Ukraine. The bank’s assets in the country currently total some $325 billion. Ukraine began shipments of barley to China in February under a $3 billion loan agreement.