Corn on the spot market becomes more expensive
the World market for maize is growing under pressure from forecasts of reduced production in Argentina. In addition, traders fear that is caused by heavy rains in Brazil delay the planting of corn second crop "safrinha" will lead to a reduction in acreage and yield of corn as optimum time of sowing is over in February.
Sharp rise in price of American wheat will boost corn prices, although yesterday in Chicago may futures added just 0.5% to 150,4 $/t
the market under pressure data on the reduction of weekly volume of corn processing for ethanol and growth stocks in the U.S. due to decline in exports.
During February, the corn futures rose 3.6 percent, Odie as wheat increased by 7.8%.
In the cash market, the US corn prices are rising due to logistical problems on the railroads and river transport.
On the spot market corn prices increased by 5-7 USD/t to of 183.25 $/t FOB Argentina, 192 $/t FOB Brazil and 177,25 $/t US Gulf.
In Ukraine corn prices are also rising. Snowfalls blocked the way to the ports will limit the amounts of grains that will lead to increased demand and further price growth for March and April delivery in port before 175-176 $/t and 186 $/MT on FOB-Black sea ports.