March 30, 2007

 

Argentina grains follow CBOT gains to close higher on week

 

 

Argentine grain prices were up on the week Thursday (Mar 29) as gains at the Chicago Board of Trade pushed up local prices, analysts said.

 

"The rise in external prices and the appearance of more local buyers pushed up corn," the Rosario Grain Exchange said.

 

Cash corn sold for 360 Argentine pesos (US$116.05) per tonne in Rosario Thursday, down from ARS370 a week ago, but up from mid-week lows. Volume reached 5,000 tonnes.

 

May corn closed at US$119 per tonne, up from US$118 a week earlier.

 

The Agriculture Secretariat sees 2006/07 corn production of 21.6 million tonnes, while the USDA forecasts 21.5 million tonnes.

 

 

Wheat

 

Wheat prices climbed on exporter demand, according to the exchange.

 

Spot wheat closed at ARS370 per tonne in Rosario Thursday, up from ARS350 a week earlier. Some 5,000 tonnes of spot wheat were traded. December wheat closed at US$125, up from US$120 a week earlier. Forward wheat sales volume reached 20,000 tonnes.

 

Argentina produced 14 million tonnes of wheat in 2006/07, according to the Agriculture Secretariat.

 

The US Department of Agriculture sees 14.2 million tonnes of wheat from the 2006/07 crop.

 

 

Soy

 

Spot soy closed at ARS600 per metric tonne at the Rosario Grain Exchange Thursday, up from ARS596 a week ago. About 30,000 tonnes of spot soy were traded.

 

May soybeans were priced at US$197 per tonne, up from US$194 last week.

 

The Agriculture Secretariat forecasts that Argentina will produce 45.6 million tonnes of soy in 2006/07.

 

The USDA estimates that Argentina will produce 44 million tonnes of soy.