USDA reduced the estimate of global corn production to 5.7 million tons
market Participants are surprised by the next report USDA, in which assessment of corn production was reduced more than expected, because of the drought in South America.
due to the reduction of corn production in Argentina for 3 million tons to 33 million tons and Brazil at 2.5 million tons to 92 million tons global production forecast was reduced by 5.7 million tonnes to 1,036 billion tons In the whole of Argentina with Brazil this year, harvested 14.5 million tons of corn less than last year.
the Reduction in production will be offset by the reduction in the consumption of maize by both exporters and importers of grain, that will reduce the volume of world trade of corn by 3.3 million tons Reduction of corn exports from South America will correct increasing exports from the United States, although it is that experts the USDA did not change the export forecast for the United States.
World ending stocks of corn will be reduced by 1.4 million tonnes to 197,78 million tons.
After the publication of the report of the may futures on corn dropped slightly, but now recovered to 156,88 $/t
In Ukraine, the price of maize at the port rose to 190-191 $/t or 5750-5850 UAH/MT for April shipments. Export demand for corn is good, and the price on the basis FOB-Black sea ports remains within 204-205 $/t