Good pace of corn exports as a result of low prices
In September, the US increased its exports of corn to 6,361 million tons, or 89% more than last year.
According to forecasts from the USDA in September 2016 – August 2017, the U.S. exported 56,518 million tons of maize, which is 17% higher than the results of the previous season. This growth in exports will be possible due to the record crop in 382,476 million tons and low prices.
last season the corn crop in the U.S. totaled 345,486 million tons, of which 48,139 million tons were exported. Main buyers were:
- Mexico – 13,321 million tons,
- Japan – 10,391 million tons,
- Colombia – 4,598 million tons,
- South Korea – 2,964 million tons,
- Peru – 2,383 million tons,
- Taiwan – 2,047 million tons
the French Association of corn growers AGPM reduced crop Outlook for French maize with up to 90,5 90,0 kg/ha.
Ministry of agriculture of France estimates gross harvest of corn, 12.5 million tons, which is 9% less than last year's crop and 20 per cent lower than the five-year average. Due to lack of moisture during the summer period of the current year, like last, was bad for corn.
Ukraine in the past week significantly increased the pace of corn shipments, which amounted to 550 thousand tons. However, due to logistic problems, the rate of exports in new season is slightly below the expectations of operators.
- Good incentive to buy U.S. corn is the lowest price that has decreased again to 136,31 $/ton.
- On MATIF corn also declined to 161,75 Euro/ton or 178,67 $/ton.
the Price of Ukrainian corn dropped to 1-2 $/ton in connection with the increase of supply with the supply port, and is now on the basis of CPT-port 151-153 $/ton or 4550-4650 UAH/ton.
The price of elevators provided in terms of 4150-4300 UAH/t, which corresponds to the end of last week.