August 13, 2008
US corn export prices down on foreseen larger crop
US corn export prices averaged $272 per ton in July, down $21 from June and tumbled in the first two weeks of August to average $199 per tonne on expectations of a larger US crop, availability of abundant feed quality wheat, lower crude and energy prices, and a firm dollar, the US Department of Agriculture said.
Sorghum prices averaged $249 per tonne, in July, down $48 from June, due to less demand from the EU-27 and lower corn prices.
Trade changes in 2008-09 selected exporters
Argentina 2008-09 corn is cut to 1.5 million tonnes to 15.0 million because of reduced production prospects.
Brazil corn shipments are slashed by 3.0 million tonnes to 9.0 million with diminished demand from the EU-27.
On the other hand, Canada barley exports are up 450,000 tonnes to 1.6 million following improved production prospects.
EU barley shipments are cut 1.0 million tonnes to 3.5 million due to expected strong competition from Russia and Ukraine.
Russia and Ukraine barley are increased 500,000 tonnes each due to higher production.
US sorghum is down 700,000 tonnes to 3.3 million, the lowest in nearly 40 years, based on expected lower demand from the EU-27 due to higher coarse grain production and its abundant supply of feed quality wheat.
EU-27 corn is slashed by 2.5 million tonnes to 4.0 million because of improved production prospects and abundant supplies of other grains.
South Korea corn is cut by 500,000 tonnes to 8.2 million amidst further evidence of feed quality wheat substituting for corn.
Taiwan corn is reduced by 200,000 tonnes to 4.2 million (and a similar change is made for 2007-08) because of slow demand arising from relatively flat meat production in the face of high commodity and freight prices.
EU-27 sorghum is down 500,000 tonnes to 1.5 million on larger production prospects for corn and feed quality wheat.
Mexico sorghum is down 200,000 to 1.3 million on larger production and reports of white corn being used in feed rations.
Trade changes in 2007-08 Selected Exporters
US corn is cut 1.0 million tonnes to 61.0 million, the second highest ever, as late-season shipments and sales are slowing.
Argentina corn is boosted 500,000 tonnes to 15.0 million because of a record pace for shipments (March-July).
Brazil corn is lowered by 500,000 tonnes to 10.0 million, still a record, as shipments to key destinations such as Iran are greatly reduced this year.
India corn is raised 200,000 tonnes to 2.8 million because of additional shipments allowed despite the export ban.
South Africa corn is slashed 800,000 tonnes to 1.0 million. Shipments have been very slow despite higher production.
Ukraine corn is raised 500,000 tonnes to 2.0 million with strong late-season shipments.
Australia barley is raised 500,000 tonnes to 3.0 million based on greater-than-expected shipments to Saudi Arabia, China and Japan.
Canada barley is boosted 200,000 tonnes to a 10-year high of 3.0 million based on shipments to Saudi Arabia, the United States, Japan and China.
EU-27 barley is down 300,000 tonnes to 3.4 million based on strong competition from Ukraine.
Ukraine barley is up 300,000 tonnes to 2.0 million based on strong demand in the Middle East.
Argentina sorghum is down 200,000 to 1.0 million tonnes on lower expected demand from the EU-27 and the pace of shipments.
Algeria, Canada, Japan, Indonesia, and Venezuela corn are all revised based on updated trade data.
Saudi Arabia barley jumps 500,000 tonnes to 6.5 million tonnes based on shipments from Australia, the Black Sea and Canada.
EU-27 sorghum is down 300,000 tonnes to 5.0 million tonnes based on import licenses and the slow pace of shipments from Brazil, Argentina, and the United States.
Mexico sorghum is up 200,000 tonnes to 1.1 million tonnes, still the lowest in 20 years, on the pace of sales and shipments from the United States.