November 27, 2006

 

IGC sees 2006/07 global corn trade at record 81.5 million tonnes

 

 

The International Grains Council (IGC) Thursday (Nov 23) forecasts global corn trade in 2006/07 at a record 81.5 million tonnes.

 

This is up 900,000 tonnes from the agency's previous forecast issued in October and up from 79 million tonnes last season.

 

IGC said this month's increase was due to larger imports by the European Union--created by high domestic feed prices--and as import duties are much lower than at the start of the season.

 

"US export commitments in the first ten weeks of its marketing year were already over 23 million tonnes, 6 million more than in the same period in 2005," said IGC.

 

But the agency added the US corn export pace will slow as the marketing year progresses due to increasing competition.

 

Argentina and Brazil's corn export sales are also at a "high level", said IGC.

 

In addition, IGC raised China's corn export forecast by 1 million tonnes this month to 4 million tonnes, citing recent dealings.