Today (Nov.21st), the market for grains in China is shown as follows:
Corn: Domestic corn price steadies to consolidate today. The price among Shandong processing enterprises is 1,954-2,080 yuan/tonne, mostly stable and some increasing by 10 yuan/tonne from yesterday. At Jinzhou port, Liaoning, old corn is unchanged at 1,860 yuan/tonne (volume weight 700 g/L); 2018 new corn with 30% moisture is unchanged at 1,560 yuan/tonne, 15% moisture of volume weight over 700 g/L is unchanged at 1,880-1,890 yuan/tonne, and 15% moisture of volume weight over 720 g/L is unchanged at 1,905-1,915 yuan/tonne. At Bayuquan port, Liaoning, 2018 new corn goes higher by 5-10 yuan/tonne to 1,890-2,000 yuan/tonne (volume weight 700-720 g/L); 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.
In Northeastern areas, enterprises still see a small volume on the market as planters are unwilling to sell on account of growing planting costs and bullish later market, so some enterprises continue to raise their purchasing price by 40 yuan/tonne in Jilin. And in North China, considering another round of sale stagnation on the market amid rainfalls, enterprises choose to keep the price steady today. Merely, there may be intensive sale risks after the sale cycle comes in late November. In addition, feed companies are inactive in purchasing due to the spread of African swine fever. Generally speaking, short-term corn may fluctuate to adjust at highs, and later focus is still on weather conditions in production regions and sales pace of planters.
Sorghum: Imported sorghum price stays stable today. (US sorghum: raw sorghum is unchanged at 2,130 yuan/tonne in Shanghai, 2,080 in Nantong and 2,040-2,050 in Guangdong. Australian sorghum: raw sorghum is unchanged at 2,200, 2,250, 2,250 and 2,230-2,250 yuan/tonne in Tianjin, Shanghai, Nantong and Qingdao; dried sorghum is unchanged at 2,310 and 2,300-2,320 yuan/tonne in Tianjin and Qingdao. Domestic sorghum price keeps steady today: In inner Mongolia, raw sorghum and dried sorghum with freight remain unchanged at 2,000 and 2,080 yuan/tonne in Hinggan League, and 2,000-2,040 and 2,160 yuan/tonne in Chifeng; in Changchun, Jilin, dried sorghum with freight is unchanged at 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 sorghum is higher by 20 yuan/tonne to 2,180-2,200 yuan/tonne in Nantong, and unchanged at 2,150-2,170 yuan/tonne in Qingdao and 2,050 yuan/tonne in Guangdong; Canadian barley: raw barley is unchanged at 2,100 yuan/tonne in Nantong; French barley: raw barley is higher by 10 yuan/tonne to 2,020 yuan/tonne in Nantong and unchanged at 1,920-1,930 yuan/tonne in Guangdong; Ukrainian barley: raw sorghum is unchanged at 1,880-1,920 yuan/tonne in Guangdong).
On account of ongoing US-China trade frictions, importers tend to wait and show little interest in purchasing high-cost US sorghum so that import volume continues to slip at ports, of which Guangdong port, usually accounting for the lion’s share, has seen a record low stock of 7,000 tonnes. In this case, holders show strong sentiment for hoarding to support the price. In addition, import cost for Australian sorghum also remains at a high level, which also props up sorghum market at the bottom. Besides, subject to China’s anti-dumping probe, import volume of Australian barley may be crippled later. So port barley market goes up today as importers are hoarding to lift the price. Merely, sorghum and barley have lost their price advantages as energy feed substitutes of corn, which curbs port grain shipment. Generally speaking, port grain market will likely steady to consolidate in the short term.
(USD $1=CNY 6.94)
