Market Perspectives – May 19, 2022

Country News

Argentina: The Buenos Aires Grain Exchange reports that 27 percent of the corn crop is harvested, and production is expected at 49 MMT, which is less than USDA’s estimate of 53 MMT. (Reuters)

Bolivia: Authorities are investigating the hiding of large volumes of corn by speculative intermediaries trying to drive values higher. (Prensa Latina)

Brazil: The threat of frost impacting the safrinha crop increases with each passing day. Thus far the cold has stayed south but has the potential to push northward. (DTN)

Canada: Farmers may have to switch away from planting corn to other crops as too much rain has prevented 90 percent of Manitoba from being planted, and Alberta’s barley cannot get planted due to drought in some areas and excess moisture in others. (Bloomberg)

EU: FranceAgriMer has slashed its crop condition estimate for the barley and corn crops. Rain is needed by June or else crop production is in trouble. (Reuters; AgriCensus)

Japan: The ministry purchased 40 KMT of barley to be loaded by August 31 and delivered by 27 October. (Reuters)

Taiwan: MFIG tendered for 65 KMT of corn for August-September delivery and bought 55 KMT from South Africa at $248.39/MT C&F. (Reuters; AgriCensus)

World: The International Grains Council cut its estimate of global corn production in 2022/23 by 9.3 MMT to a total of 367.3 MMT. Ukraine’s corn crop is pegged at 18.6 MMT, about half of what was expected before the war. And its forecast for U.S. corn production was cut by 3.1 MMT to 46.8 MMY while India’s output is viewed at 105 MMT versus 111.3 MMT earlier. (Reuters)