The prices of corn on the exchange moved up further by $5/MT, due to pre-holiday buying and also as serve storm hit US last week and affected the markets. Winter logistics has also slowed the trade from Black Sea corridor, keeping overall prices higher. Mar 2023 $262.26/MT, May 2023 $261.79/MT and Jul 2023 $259.04/MT.
Corn Prices at US Gulf for the period Jan – Jun’23 were up accordingly from last week’s price and indicated at $313-300/MT; FOB PNW indicated at $330-322/MT.
Other origin prices were as under (Jan-Mar’23)
Argentina $301/MT; Brazil $298/MT; FOB Ukraine $257/MT.
EU commission has lowered its corn crop outlook this week to 52.3 MMT. Due to dry weather conditions in Brazil’s Rio Grande do Sul state, Corn production will fall to 4.51 MMT (As reported).
Other grains, US Sorghum prices FOB Texas were indicated at $360/MT (Jan – Mar 2023).
Barley prices were as under
It is expected that Ukraine would produce 3.7 MMT of barley in 2023 due to fertilizer shortage. Production will be 35% lower than 2022. It is also expected that farmers in Ukraine are likely to move to oilseeds in 2023 due to higher prices and better profitability.
DDGS demand remains steady, prices higher as ethanol run rates a low. Cold weather in US would also mean more feed requirements domestically.
FOB prices at US Gulf were indicated at $347-346/MT, (Jan-Mar); FOB PNW at $382-384/MT. Domestic barge rates remain and as Winter storm remains strong the rail rates are also high, keeping FOB prices higher.
US DDGS delivered prices to the region, Vietnam and Thailand 423-430/MT; Myanmar $418-425/MT. Prices of CGM on FOB basis were indicated at $825/MT and CGF at $310/MT.
Source: Amit Sachdeva (U.S. GRAINS COUNCIL )