Maize

Government crop estimates committee said the size of the expected commercial maize crop was unchanged at 15.6-million tonnes. Of that, 9.5-million tonnes would be white maize and the rest the yellow variety. Industry expectations are for a 4.2-million tonne exportable surplus for both white and yellow maize. About 2-million tonnes will be exported, while the rest of the stocks will carry over to the next marketing year.

North Dakota farmers have sold a lot of corn, but the amount of crop left after last year record production could wreak havoc on local prices. The U.S. Department of Agriculture estimated in March that 215 million bushels of corn were being stored on farms in the state.

Korea Corn Processing Industry Association (KOCOPIA) purchased about 60,000 tonnes of corn expected to be sourced from South America in a tender which closed on Tuesday. The corn was purchased at about $177.50 a tonne c&f including surcharge for additional port unloading. Seller was trading group Midstar. The corn was for arrival around October 15.

Elevated temperatures (2-4ºС above normal) were observed in the country last week. The average daytime air temperature was within 19-31ºС. Moisture supply available to corn plants (0-100-cm soil layer) is at good and fair levels almost all over corn growing regions. Local shortages are reported in the south-west and south-east. Excessively hot weather (32-35ºС) is expected in the country key growing regions this week. It may damage corn crops.

Prices of maize rose in the key wholesale market of Purnea, Bihar, because of a fall in the arrivals. The coarse grain was quoted up 10 rupees from the previous day. Around 500 tonne of maize arrived in Purnea, down from 700 tonne previous close, as recent rains in Bihar have hit transportation. Futures contracts of maize also traded slightly higher tracking the spot market. The most-active July contract of maize on the National Commodity and Derivatives Exchange traded up 0.2% from the previous close.

South African expected to reap a record 15.82 million tonnes of maize this season after better weather boosted yields. The estimate is 1.4% higher than the latest forecast from the government Crop Estimates Committee (CEC) which put the harvest at a record 15.6 million tonnes, double last year output. A drought triggered by an El Nino weather pattern left 2016 harvest at just 7.78 million tonnes, but favorable weather since has put this year crop on track to surpass the previous record of 14.656 million tonnes in 1981. The Johannesburg stock exchange white maize futures contract due in September has fallen 66% from its peak of R5 188 a tonne hit in May last year to close at R1 775 on previous close.

Ukraine exported 2654 KMT of corn in May 2017 that is up 36% from April 2017 (1946 KMT) and two and a half times more than in May 2016 (1002 KMT). Ukrainian exporters shipped abroad 18.186 MMT of corn for just nine months of the current season, up 19% from MY 2015/16.

The National Cooperative Dairy Federation of India buy 3,675 tonnes maize through a reverse electronic auction. The commodity, used as cattle feed, be bought on behalf of the Rajasthan Cooperative Dairy Federation. The National Cooperative Dairy Federation of India, which has nearly 200 dairy cooperatives as members, has developed an online trading platform to purchase feed stock and sell dairy products.

Prices of maize in the key wholesale market of Purnea in Bihar rose due to a fall in arrivals of the crop. The coarse grain was sold up 20 rupees from previous close. Arrivals have fallen as stocks with farmers are depleting and recent rains in the region have hit transportation of the crop to markets. Farmers brought around 700 tonne of maize, lower than 1,000 tonnes on previous close. July maize contract on the National Commodity and Derivatives Exchange was up 0.5% from the previous close.

Futures contracts of maize fell on the NCDEX due to profit booking as prices had risen in the past three sessions tracking the spot market. July contract traded down 0.2% from the previous close. The good quality maize and the poor quality crop traded up 20 rupees from previous close. Arrivals of the coarse grain were at around 1,000 tonne, lower than the average arrivals of 2,000 tonne last week.

Corn fell for a fourth consecutive day to a three-week low on an outlook for favorable weather across the U.S. Midwest during the crop critical phase of development. CBOT Corn up 0.1 percent to $3.68-1/4 a bushel, after earlier in the session marking its weakest since June 1 at $3.67-3/4 a bushel.

Russia Corn exports turned down in April 2017, supplied 307.7 KMT of corn to foreign markets. Half of previous month (622.7 KMT was in March 2017) and in April 2016 (677 KMT). In the first eight months of MY 2016/17, Russia exported 4.2 MMT of corn, or 8% more than at the same time last marketing year. The European Union remains the top importer of Russian corn with a market share of 20%. Vietnam and Iran also managed to enter the top three at this time, with their export shares at 19% and 18%, respectively.

Futures contracts of maize on the NCDEX rose nearly 1%, taking cues from gains in major spot markets. August contract of maize up 0.7% from the previous close. The July contract also traded 0.8% higher. In Bihar benchmark market of Purnea, good quality maize and poor quality maize both up 10-20 rupees from previous close. Prices rose in Purnea as monsoon, which had hit parts of the state on Friday, hampered supply of the grain in markets. Around 300-400 tonne of maize arrived in Purnea, down from 500 tonne brought on previous close.

155,000 bags of relief rice from China using the standard gauge railway cargo train at the port of Mombasa, Devolution and Planning Cabinet Secretary Mwangi Kiunjuri said the government is expecting another ship carrying 829,400 bags of maize to dock at the port. The government also witnessed the start of the transportation of food by another SGR cargo train on Tuesday, which had 90 containers of 45,000 bags of rice to Nairobi, in addition to that of 50 trucks each carrying 500 bags of rice to other parts of the country.

Cargo trains start ferrying goods from Mombasa to Nairobi earlier than planned to ensure subsidised maize reaches the market on time amid a shortage of flour. The standard gauge railway (SGR) cargo trains on the new railway were supposed to start trips in January next year but the current development see them commence operations much earlier to save millions of Kenyans who have been grappling with the shortage of subsidised flour that is going for Sh90 for a two-kilogramme packet.

Prices of maize rose in the benchmark Purnea market of Bihar as monsoon rains hampered arrivals. About 500 tonne maize arrived in Purnea, down from nearly 2,000 tonne on previous close. Good quality maize was sold at 1,250 rupees per 100 kg in Purnea, up by 50 rupees from previous close. Maize prices were up due to low availability of good quality crop, total arrivals to market are also falling now due to rains.

Output of maize has exceeded 6m tonnes for the first time in the country. This is going to boost both local sales and exports of corn and corn-based products. Pakistan produced 6.13m tonnes of maize in FY17, up 16.3pc from last year 5.271m tonnes. Whereas the area under cultivation increased to 1.334m hectares from 1.191m hectares in FY16, the crop’s yield also went up to 4,595kg per hectare from 4,426kg per hectare.

The government has increased the minimum support prices on major crops including paddy, maize, tur, urad, moong, soybean and cotton. Maize get a minimum support price of 1,425 rupees per 100 kg, 60 rupees higher than last year. This comes at a time when the country is facing a glut in major crops and vegetables, which had resulted in subdued prices, leading to widespread protests among farmers in major growing states.

Corn gave up 1.3 percent on easing concerns over dryness in the U.S. The corn market is giving up gains as there is pressure on crude oil prices and the weather is looking better. Corn prices often track movements in the crude oil market with rising use of crops to make alternative fuels.

The Korea Feed Association purchased about 65,000 tonnes of yellow corn to be sourced from optional origins. The corn was purchased at around $183.50 a tonne c&f plus a $1.00 a tonne surcharge for additional port unloading. It was for arrival around Oct. 5 and was bought from trading house ADM.