Export demand for corn in Ukraine fell sharply against the background of a decrease in world quotations

This week on the Chicago Stock Exchange, July corn futures fell by 7.1% to $165.3/t (-10.2% for the month), and December - by 7.1% to $172/t (- 11%) on forecasts of increased stocks and expansion of sowing areas in the USA.

On Friday, the USDA will release reports on grain stocks and acreage in the United States. Traders expect corn stocks to be estimated at 123.7 million tons, up 19.6 million tons from last year, and corn plantings to reach 93.353 million acres, up from the USDA's earlier estimate of 90 million acres.

Falling corn quotations in the USA reduced global demand prices, in particular in Ukraine. Traders stopped buying corn, and purchase prices with delivery to Black Sea ports fell to $170/t or UAH 7,600-7,900/t.

In FY 2023/24 (as of June 25), Ukraine exported 29 million tons of corn against the USDA forecast of 26 million tons, while last year on this date 28.8 million tons of corn were exported. Therefore, after the adjustment of the balance for Ukraine in 2024/25 MR, the initial reserves will be minimal.

The gradual decline in feed wheat prices is increasing pressure on new crop corn prices, especially against the background of favorable weather for crops in Ukraine and the United States.