Purchase prices for corn have sharply decreased in Ukraine

< span style="font-size:14px;">following the sharp collapse of stock prices for corn on the Chicago Stock Exchange, caused by the "bearish" report of the USDA, purchase prices for corn in Ukraine also decreased, although last week they reached a record 287-292 $/ton or 9100-9150 UAH/ton in Porto.< / span> < / p>

< span style="font-size:14px;" > since Thursday, exporters have reduced purchase prices in ports to 2 272-275/t or 8550-8650 UAH/t, after which processors have lowered prices from 8600-8700 UAH/t to 8200-8300 UAH/t with delivery to the plant.

< span style="font-size:14px;" > in two weeks of May, Ukraine exported 693 thousand tons of corn, and in general in the season - 19.8 million tons, which is 38% less than a year ago. By the end of the season, it is necessary to sell another 3-4 million tons. China remains the main buyer, as the EU has reduced corn imports to a minimum amid high prices.

< span style="font-size:14px;">during the week, EU countries imported only 81 thousand tons of corn, and in general in the season – 12.8 million tons, which is 30% less than last year. Compared to last year, corn supplies from Ukraine decreased by 51% to 5.6 million tons, and from Brazil – only by 7% to 4.43 million tons.

< span style="font-size:14px;">the main factor of pressure on prices remains forecasts of a record harvest of wheat and corn in the new season. Heavy rains in the United States and France, which suffered from precipitation shortages, accelerated the fall in wheat prices, while precipitation expected in Brazil cools the corn market.

< span style="font-size:14px;" > on the Chicago Stock Exchange, July corn futures recovered 1.3% to четвер 260.4/ton after falling 11.5% on Thursday and Friday, while December futures fell another 1% to.211.4/ton, losing 12.5% in three sessions.

< span style="font-size:14px;" > according to the NASS weekly crop report, as of May 16, 80% of the planned areas were sown with corn in the United States, compared to 78% a year ago and 68% on average over 5 years. Good weather has accelerated sowing, so analysts believe that the sowing area may grow to 97 million acres compared to the USDA forecast of 93 million acres.

< span style="font-size:14px;" > corn prices supported the sale of 1.7 million tons of new crop corn from the United States to China, as well as export data, which increased by 10% over the week to 1.892 million tons (of which 938 thousand tons to China), and in general in the season amounted to 47.05 million tons. Total sales of corn of the new crop  to China reached a record 10.5 million tons for this time, which is 17% of the projected export volume for the next season. It will also encourage farmers to increase their sowing area.

< span style="font-size:14px;" > according to StoneX, South Korean importers purchased 263 thousand tons of corn delivered in September at a fairly high price of 3 332-337/ton C&F, while the offer prices of corn delivered to Asia in July – August were 3 320-330/ton C&F.