The USDA reported all wheat export sales in the week of June 14 at 461,633 MT, on the higher end of expectations. That was 23.6% larger than the same week last year and a jump of 52.7% from a week ago. The Philippines purchased 137,000 MT, with Japan buying 118,500 MT. Weekly exports were up 37.71% from the week prior at 426,920, which was still 31,63% below the same week last year. In Japan’s weekly MOA tender, purchased 91,188 MT of combined US (65,943 MT) and Australian wheat. Consultant Agritel is projecting Russia’s 2018 wheat crop to drop to 67.4 MMT. That is on the lower end of most estimates, compared to the USDA’s 68.5 MMT.
Ukraine exported more than 2 MMT of rapeseed this season.
In July-April 2017/18 2090.6 KMT was supplied to foreign markets that is much more than in the last three seasons but 20.5% below the 2630 KMT export record set in MY 2008/09. Rapeseed export shipments dropped to 7.4 KMT in April 2017/18 from 11 KMT in the previous month and 50.5 KMT in April 2016/17. The EU continued stepping up imports of Ukrainian rapeseed, absorbing 82% of their total.
NCDEX coriander up 1% on firm demand from stockists.
Coriander futures on the NCDEX rose over 1% due to improved demand from stockists at low price levels. The most active July contract of coriander on NCDEX traded at 4,607 rupees per 100 kg, up 1% from the previous close. In Kota, the benchmark market, badami variety was sold at 4,750 rupees per 100 kg and the eagle variety was quoted at 5,050 rupees per 100 kg, both up 30-40 rupees. Arrivals of coriander in Rajasthan were 9,000 bags (1 bag = 40 kg), up 1,000 bags from the previous day
Ukrainian farmers started harvesting winter rapeseed.
Harvesting of winter rapeseed has started in the southern regions of the country (Zaporizhia, Odesa, Kherson). Risoil Group has begun receiving rapeseed at its elevator in Rozdilna (Odesa region). The company reports a high oil content in the first rapeseed arrivals: roughly 48%, or more than 50.5% in dry matter terms. This is a high value for the central part of Odesa region early in a season. As of June 18, 2018, farmers had harvested 6 KMT of winter rapeseed from 3 Th ha (out of this season’s projected harvest area of 983 Th ha) with an average yield of 1.74 MT/ha.
Madhya Pradesh mustard procurement ends; purchases at 119,291 tn.
Mustard procurement in Madhya Pradesh has come to an end with the state government having bought a total of 119,291 tn of the oilseed at minimum support price under the Krishak Samruddhi Yojana. In Madhya Pradesh, around 1.6 mln farmers are registered under the Krishak Samruddhi Yojana scheme which allows them to sell their produce at minimum support prices and avail incentives. This year, the state government is giving an incentive of 100 rupees per 100 kg on mustard procurement. For 2017-18 (Jul-Jun), mustard output in Madhya Pradesh is estimated at 5.3 mln tn, up from 4.5 mln tn harvested last year
Jaipur mustard up on limited supply, rise in demand.
Prices of mustard rose in Jaipur, Rajasthan, due to limited supply of the oilseed and a rise in demand from domestic stockists and oil millers. In Jaipur, the benchmark market for the oilseed, prices rose by 5-10 rupees to 4,095-4,105 rupees per 100 kg. Arrivals of mustard in Jaipur were unchanged at 100,000 bags (1 bag = 85 kg). Expectations of a rise in demand during the monsoon also supported prices.
European feeds-Soymeal higher as U.S. sell-off abates, Brazil prices firm.
Soymeal on the European meals and feeds market rose after a slight recovery in U.S. futures from the previous day’s sell-off and helped by firm premiums in Brazil. Brazilian high-protein soymeal for July shipment was offered up $7 at $436 a tonne, cif Rotterdam, while Argentine high-protein soymeal for the same period was marked up $2 to $405 a tonne, cif Rotterdam. Rising cash premiums in Brazil, where strong demand from China amid a row with Washington has coincided with logistical backlogs due to a transport dispute, were also supporting European prices. Rapemeal was quoted between unchanged and two euros per tonne higher, after holding up better than soymeal earlier in the week when it was supported by a falling euro.
CBOT spot soybeans consolidate a day after multi-year low.
Nearby soybean futures on the Chicago Board of Trade closed fractionally higher as the market consolidated a day after the front contract fell to a 9-1/2 year low. CBOT July soybeans settled up 1/2 cent at $8.89-1/2 per bushel while new-crop November ended down 1/2 cent at $9.10-1/2. CBOT July soymeal fell $1.30 at $333.20 per short ton. CBOT July soyoil rose 0.52 cent at 29.37 cents per pound. Rebound in soybeans capped by ongoing trade tensions between the United States and top global soy buyer China. Also, forecasts for beneficial Midwest rains this week hang over the market, bolstering early prospects for a big US crop. Ahead of the US Department of Agriculture’s weekly export sales report on Thursday, traders expect the government to report US soybean sales at 400,000 to 1,000,000 tonnes (old and new crop years combined).
Soybean prices to trade sideways to down.
NCDEX Jul Soybean closed lower due to profit booking by the market participants on expectation of good sowing. However, there expectation good physical demand due to anticipation of higher domestic crushing of soybean after government increase customs duty on crude as well as refine soy oil to 35% and 45% respectively. Prices have been under pressure on forecast of normal rains and lower meal exports data from both SEA and SOPA is weighing on prices this month. Soybean acreage till last week is 56 % higher than at 50,000 ha as compared to the last year acreage. Bangladesh, one of the largest importers of soymeal from India, reduced the import duty to nil which may result into tough competition for the country from South American peers in soymeal exports to Bangladesh.
Weekly world market rice prices:USDA.
Rough rice prices decreased, by $0.22 cents per cwt for long grain and by $0.24 per cwt for medium/short grain, from the previous announcement.
Manila Port rice discharge halted by bad weather.
The reason why the rice imports, which are intended for Metro Manila, have yet to be completely discharged from the vessel was due to the weather condition these past few days. Around 25,000 MT of imported rice from Vietnam are being unloaded to trucks at the Naval Supply Depot (NSD) in Subic Bay Freeport Zone.
Egypt to import rice to avoid price shock.
The Egyptian government has announced a decision to import rice to increase supply and avoid a potential price shock to consumers. Although milled and paddy rice prices increased in April, the recent announcement to increase imports caused prices to fall. It anticipates prices will continue downward as the August/September harvest commences and imports start arriving. Since a recent peak of 4.8 million tonnes in 2016-17, Egypt production fell to 4.3 million in 2017-18 and is forecast to drop to 3.3 million in 2018-19, according to the USDA. Meanwhile, it forecasts 400,000 tonnes of rice imports in 2018-19, up from 50,000 tonnes in 2017-18.
India Rice up on export enquiries, tight supply.
Prices of rice basmati as well as non-basmati rose by up to Rs 100 per quintal at the wholesale grains market due to pick up in export enquiries and local demand. Increased export enquiries and rising demand from local parties attributed the rise in rice basmati and non-basmati prices.
Australia’s April wheat exports at 1.39Mt slip 5pc from March
Australia exported 1.39 million tonnes (Mt) of wheat in April, down 5 per cent from 1.46Mt in March. The April figure is made up of 136,654 tonnes of containerised wheat and 1.26Mt of bulk wheat, both down from the corresponding March-shipment figures. In the bulk market, Indonesia followed by The Philippines remained Australia’s two largest customers by volume in April with 261,447t and 156,903t respectively. Durum cargoes to Nigeria which totalled 104,400t made the North African nation Australia’s third-biggest bulk market for the month. In containerised exports, Vietnam followed by Taiwan and Myanmar were Australia’s largest markets by volume in April.
China’s wheat output set to drop sharply in wake of bad weather
China’s wheat output could drop as much as 20 per cent this crop year after bad weather hit fields in major growing areas, likely boosting imports by the world’s top producer and consumer of the grain. Increased Chinese demand for wheat cargoes could pile more upward pressure on international prices for the commodity, which have already soared nearly 15 per cent since early April on worries over tight global supplies. The China National Grain and Oils Information Centre, a government think tank, earlier this month estimated that China’s wheat output would drop 3 million tonnes in the 2018/19 season from the year before to 126.73 million tonnes.
Morocco wheat production seen flat 4.8 mln tn in 2018/19
Morocco’s soft wheat is forecast to total 4.8 million tonnes in 2018/19. Total wheat production was little changed from the prior season when the soft wheat crop was at 4.89 million and durum wheat at 2.2 million. The forecast crop would, however, be sharply up from 2016/17 when there was a soft wheat crop of just 1.86 million and durum crop of 0.87 million. Soft wheat imports were seen at 3.00 million tonnes in 2018/19, up from 2.66 million in the prior season but below the 4.19 million imported in 2016/17.
Egypt purchased 240 KMT of milling wheat from Romania
On June 19, Egypt purchased 240 KMT of milling wheat from Romania to be delivered on August 1 – 10, 2018 at an average price of USD 218.10/MT C&F. The price in the previous tender equaled USD 224.44//MT C&F.
Russian Ag Ministry planned taking out 1 MMT of grain for reduced freight rates in MY 2018/19.
The Ag Ministry of Russia proposes setting the 2018/19 quota for reduced-tariff grain shipments from remote regions at 1.024 MMT. It is planned to distribute this quota among the following five regions: Omsk (350 KMT), Novosibirsk (294 KMT), Orenburg (150 KMT), Kurgan (130 KMT), and Krasnoyarsk (100 KMT).
NCDEX coriander futures up by 2% as lower sowing area.
The most-active July contract of coriander hit a three-week high of 4,562 rupees per 100 kg on NCDEX. Lower sowing area current year supports the prices from lower levels in the spot market. Coriander stockists may hold their stocks, expect prices may go up.
China tells farmers to grow more soybeans amid trade fight with U.S.
The order came in April. China’s government instructed farmers in the country’s northeastern breadbasket region to grow more soybeans. But soybean fields lay empty in the village of Sandaogou. It has been a dry spring. China is the world’s largest consumer of soybeans, a key product for making things like oil and pig feed, and is America’s biggest buyer of the beans. But China has raised tariffs on a number of items including soybeans shipped from the U.S., in retaliation against new import duties on Chinese goods imposed by the Trump administration. On Monday, President Trump ordered his trade representative to draft a new list of $200 billion in Chinese goods for further tariffs, in a sharp escalation of the trade fight between the world’s top two economies. In May, China’s agriculture ministry said the country will reduce its soybean imports for the first time in 15 years. To make up for part of the loss, the central government ordered local authorities to set aside 1.6 million acres of land to grow more soybeans. The country already cultivates nearly 21 million acres of the crop. China produced 14.2 million metric tons of soybeans last year and imported almost 100 million more to meet domestic demand, according to figures from the U.S. Department of Agriculture. A third of those imports were from the U.S.