Corn prices in Ukraine are growing due to high demand

Record harvest of Ukrainian maize at the level of 35.5 million tonnes has led to falling prices in October – November in port before 150-152 $/ton, interested buyers and intensified the export.

In November Ukraine exported record 5 million tons of corn, and since the beginning of the season to 10.3 million tonnes, which is 78% higher than the corresponding period last year, 5.8 million tons.

estimates USDA in the current season Ukraine will export 28 million tons of corn. This forecast seemed doubtful early in the season, when the demand was very low. However, drought in the EU and increased consumption of feed grains, particularly corn, has allowed Ukraine to increase exports. The main buyers of domestic maize were Spain and the Netherlands, and more recently also China.

the EU in the current my imported 11.3 million tons of corn by 46.75% higher than the previous season. According to the forecast USDA in 2018/19 Mr EU imports 21 million tons of corn.

Prices on Ukrainian corn grow from mid-December and has already reached 157 and 158 in port $/t or 5100-5150 UAH/t, which corresponds to last year's level.

In Chicago March corn futures remain at $150/t, which is 7% higher than a year ago. But the pace of corn exports from the US are also higher than last year.

Limitations the U.S. government has delayed the release of weekly reports on export sales, which hinders the exchange's trading activity.

the Market expects the data on ethanol production, the profitability of which has decreased after the fall in oil prices, for which separate factories stopped work. The demand for corn for domestic processing will decrease, which will lead to increased exports.

the Forecast of the corn crop in Brazil this season due to a lack of precipitation reduced to 94 million tons.

Through drought conditions during the planting acreage under soybean may be reduced by the use of corn SARN. Soon traders will be glued to the weather conditions in South America.