Prices for grains and oilseeds completed in 2020 at the highest over the past decade, levels

2020-12-31 12:01:40
Machine translation
Prices for grains and oilseeds completed in 2020 at the highest over the past decade, levels

Agree, in 2020 it has become very unusual in all aspects. In the early years of the pandemic coronavirus world has changed lifestyles of people and business that have an impact on grain prices, which moved during the season under the pressure of uncertainty with the future and not depending on the global balance of supply and demand.

 

At the beginning of the pandemic, commodity prices fell amid uncertainty over demand, and then rose sharply due to speculative demand, stockpiling, and at the end of the year to support them allocated to the United States and Europe to support the economies of the funds of which were invested in shares and futures on the grain.

 

Despite the record levels of production of wheat and corn, as well as increased domestic harvest of oilseeds in comparison with last year, prices through increased demand still increased by 30-50%.

 

Markets supported by dry weather in Ukraine, Europe, later in Argentina and Brazil, as well as a sharp increase in demand for grain from China, who won coronavirus and was the only country whose economy grew in 2020.

 

In December factors in the rising prices were the intentions of the Russian government to impose duties and quotas on exports of wheat, soybean, sunflower and sunflower oil, as well as the strike at port terminals in Argentina, resulting in prices for soybean meal and oil, and corn since the beginning of the month increased by 10%.

 

Yesterday processing companies of Argentina signed an agreement with the unions that will allow you to end the strike, which virtually paralyzed the export of goods from the country, but prices have not yet reacted to the news.

 

On the stock exchange in Chicago, prices continue to rise and yesterday, wheat futures rose 3.6%, to 234.6 $/t, for corn – by 3.17% to 189 $/ton, soybean meal 2.1% to 475,3 $/t, for soybean oil – 1.2% to 925,7 $/t, for soybean – by 1.5% to 482,8 $/t for the uncertainty with the harvest of soya and corn in Argentina and Brazil the next week dry weather will remain.

 

On the Paris stock exchange Euronext wheat futures rose by €1/t to 213 €/t or 261,9 $/t, while the January futures on corn - from 6.1% to 213 €/t or 261,9 $/t on the background of completion of the contract and the lack of proposals, while the March futures on corn grew by only 1,25 €/t 196,5 up to €/t or 241,6 $/t

 

we want the farmers to have time to sell grain at the highest possible prices, since, for the high sensitivity of the markets to adverse news will drastically derail the quotes, especially given the facts of mutation coronavirus and the first cases of infection of people who received the vaccine that can reduce the optimism about the rapid overcoming of the pandemic in 2021.

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