Today (Nov.15th), the market for grains in China is shown as follows:
Corn: Domestic corn price mostly remains stable and some show strong adjustments. The price in Shandong processing enterprises is mainly at 1,966-2,080 yuan/tonne, mostly stable and some adjusting slightly. At Jinzhou port, Liaoning, old corn is unchanged at 1,850 yuan/tonne (volume weight 700 g/L); 2018 new corn is unchanged at 1,560 yuan/tonne for 30% moisture, 1,880-1,890 yuan/tonne for 15% moisture with volume weight over 700 g/L, and 1,900-1,905 yuan/tonne for 15% moisture with volume weight over 720 g/L. At Bayuquan port, Liaoning, 2018 new corn goes up by 10 yuan/tonne to 1,880-1,895 yuan/tonne; old corn is unchanged at 1,780-1,820 yuan/tonne (volume weight 690-700 g/L, mildew 3-4%). At Shekou port, Guangdong, second-class old corn is unchanged at 1,980-2,000 yuan/tonne.
Corn price continues to consolidate amid the periodical tight supply, where northeast new corn is yet to go marketing intensively and farmers are hoarding for bullish market due to the increased planting cost and reduced subsidy. However, some planters show looser mood for hoarding as corn price in North China has risen to a staged high level. And seeing an increasing volume in Shandong, many companies stop raising their purchasing price, with some choosing to pull back their price flexibly when the volume is large. Besides, there may be some risks from intensive sales of northeast corn in late November. And feed companies are cautious in purchasing due to the frequent outbreaks of rampant African swine fever. In general, short-term corn market is hard to hug further rises, and later focus is till on weather in production areas and sales pace of planters.
Sorghum: Imported sorghum price is stable today. (US sorghum: raw sorghum is unchanged at 2,080, 2,130 and 2,040-2,050 yuan/tonne respectively in Nantong, Shanghai and Guangdong. Australian sorghum: raw sorghum and dried sorghum are unchanged respectively at 2,170 and 2,280 yuan/tonne in Tianjin and 2,230-2,350 and 2,300-2,320 yuan/tonne in Qingdao, and raw sorghum is 2,250 yuan/tonne in Shanghai. Domestic sorghum price keeps steady to rise: In inner Mongolia, raw sorghum and dried sorghum with freight remain unchanged at 1,960 and 2,060 yuan/tonne in Hinggan League and 2,000 and 2,140 yuan/tonne in Chifeng; in Changchun, Jilin, dried sorghum with freight is 2,240 yuan/tonne; and in Heilongjiang, raw sorghum and dried sorghum with freight remain unchanged at 1,800 and 1,840-1,860 yuan/tonne in Qiqihar and 1,900-1,920 and 2,000 yuan/tonne in Daqing).
Barley: Barley price stays stable to rise today. (Australian barley: raw barley is unchanged at 2,150-2,170 yuan/tonne in Qingdao, 2,160 yuan/tonne in Nantong and 2,050 yuan/tonne in Guangdong; French barley: raw barley is unchanged at 1,990-2,000 yuan/tonne in Nantong and 1,920-1,930 yuan/tonne in Guangdong; Canadian barley: raw barley is unchanged at 2,050-2,080 yuan/tonne in Nantong; Ukainian barley: raw barley is 1,880-1920 yuan/tonne in Guangdong).
Currently, sorghum market has got some support at its bottom. For one thing, importers have no stomach for US sorghum due to its high import cost, so import volume at port keeps slipping, with main port, Guangdong, only holding less than 10,000 tonnes in stock. For another, holders are unwilling to sell their stock with concerns over the difficulty to replenish such lost-cost supply, as the import cost for Australian sorghum has also hit a high level due to drought conditions. Merely, domestic sorghum is running at low prices with its harvest completion, under which Australian sorghum has lost its price advantage. Furthermore, sorghum and barley also lost their price advantages as energy feed substitutes of corn, which slows down grain shipment at port. As the bull and the bear walk side-by-side, sorghum and barley market at port is predicted to run stable in the near term.
(USD $1=CNY 6.94)
