Corn prices in Ukraine are growing following the world prices and due to the devaluation of the hryvnia

2022-01-26 12:05:03
Machine translation
Corn prices in Ukraine are growing following the world prices and due to the devaluation of the hryvnia

In Ukraine, after a long weekend, there is another stage of growth in purchase prices and a projected increase in deliveries, which led to significant queues at ports and the shutdown of individual terminals.

 

The reason for the price increase is a sharp drop in the hryvnia exchange rate against the dollar since the beginning of the year by 5% to UAH 28.7/. against the background of Information pressure about possible Russian aggression. As a result, corn prices in ports in January increased by 400 UAH/ton to 8700-8750 UAH/ton.

 

Against the background of political tension between Russia and Ukraine, world prices for oil and corn continue to rise, which contributes to the recovery of foreign exchange prices for corn in domestic ports to 2 270/ton.

 

March Brent crude futures hit a 7-year high of. 88/barrel, while March corn futures on the Chicago Stock Exchange rose 1.6% for the week to the highest level since June 2021 of.244.1/ton.

 

According to the FAS USDA, during January 14-20, corn exports from the United States decreased by 10% compared to the previous week to 1.115 million tons, and in general in the season reached 16.44 million tons, which is 15% lower than last year's pace, although last week the lag was 12.6%.

 

March Black Sea corn futures on the Chicago Stock Exchange yesterday rose immediately by 5 5/ton to the highest level since May of.287/ton on the speculative factor of possible Russian aggression and reduced supplies.

 

For the same reason, March European corn futures on Paris Euronext rose by €10.25/ton from Monday to €257.75/ton or € 291.36/ton, which corresponds to the November 2021 high.

 

The acceleration of soybean harvesting in Brazil improves the prospects for sowing corn in the second crop, and precipitation in the states of Mato Grosso and Paraná replenishes moisture reserves. In Argentina, heavy rains took place last week, which improved the condition of corn crops. Next week, there will be light precipitation, which against the background of low temperatures will contribute to the development of crops.

 

Reducing political tensions between Russia and the West will ease speculative pressure on prices and the hryvnia exchange rate, which will lead to a sharp decline in purchase prices, especially against the background of an increase in supply and stocks among traders.

Visitors’ comments (0):