It was a WASDE week and the report was released on 9 Mar 2021. For the US, no changes on production, supplies, ending stocks, but for the world production is increased to 1,136 MMT (up 2 MMT) and ending stocks increased by 1 MMT to 287.67 MMT. Production increased in India, South Africa and Bangladesh. Also, exports raised for India. For the year 2020 (Jan-Dec), India has exported 1.83 MMT of corn. For the Marketing year 2020-21 (Starting Oct 2020) exports are at 1.4 MMT, with more to go as new crop is starting to be harvested in Bihar and prices could be down.
On Friday, 12 Mar 2021, the prices of US corn on the exchange were down in $5/MT for Mar and $2 for May-July. March closed at $216.20/MT; May $212.19/MT; Jul $208/MT and Sep $195.26/MT. FOB prices too were down, US Gulf down $4/MT at $246/MT; FOB PNW down $6 for spot at $268/MT and down $4/MT for May at $270/MT. Other origins also were down. Argentina new corn indicated at $227-230/MT’ Brazil Mar down $23/MT and indicated at $243/MT and new crop down $3/MT at $235/MT. Black sea corn down $5/MT at $260-263/MT.
Other grains, Sorghum prices on FOB basis (Texas) down $3/MT and indicated at $338-334/MT; Barley prices are mixed and the World barley production is expected to be higher with an increase for Australia. Barley exports in the WASDE report raised for Australia, with higher imports for Saudi Arabia, which has tendered for another 660,000 MT of Barley and also Algeria, which has recently tendered for 50,000 MT of Barley. India is also a net opportunistic exporter, with exports of about 100,000 MT recorded in first three months of the year. (Jan-Dec 2020, exports were only 1,329 MT). Prices of French Barley down $2/MT at $262-264/MT; Argentina up $15/MT at $259-262/MT; Black Sea down $11/MT at $245-248/MT; Australian barley indicated up $2/MT at $251/MT and Russian barley up $1/MT at $245/MT.
As ethanol production comes back, US DDGS prices are down. FOB prices at US Gulf were indicated at $292-285/MT down $9/MT. FOB PNW also down by $8/MT at $297-294/MT for the period Mar-May 2021. Freight prices though remain high and the export market for DDGS remains slow and prices stable at $360/MT for delivered cargoes to South Asia and South East Asian markets. CGM prices however moved up by $15/MT to $810/MT on FOB basis and CGF prices down by $10/MT at $275-278/MT.
