Today (Nov.23rd), the market for grains in China is shown as follows:
Corn: Domestic corn prices are mostly stable and some post small rises today. The price among Shandong processing enterprises is 1,954-2,080 yuan/tonne, mostly stable and some rising by 6-10 yuan/tonne. 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 is unchanged at 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.
Some companies lift their purchasing price by another 6-10 yuan/tonne today for the small volume from reluctant sellers in northern regions. Meanwhile, traders are still hoarding with an expect for bullish market due to the increasing planting costs and reduced subsidies. Therefore, short-term corn price will still get support from its scattered effective supply on the market and may consolidate with fluctuations at highs. But there may be some risks from intensive sales in Northeast regions if planters enter into a sale cycle in late November to early December after they finish harvesting their late corn. Besides, the upside potential of corn has been limited as its market is further curbed by slow feed consumption amid the contagious African swine fever. Later focus is still on weather conditions and sale paces.
Sorghum: Imported sorghum price stays stable to rise today. (US sorghum: raw sorghum is unchanged at 2,130 yuan/tonne in Shanghai, 2,080 in Nantong, 2,070-2,080 in Zhangjiagang and 2,050 in Guangdong; dried sorghum is 2,250 in Nantong. Australian sorghum: raw sorghum goes higher by 40 yuan/tonne to 2,200 yuan/tonne in Tianjin, and remains unchanged at 2,250-2,280, 2,250 and 2,230-2,250 yuan/tonne in Shanghai, Nantong and Qingdao; dried sorghum goes higher by 40 yuan/tonne to 2,350 in Tianjin and remains unchanged at 2,360 in Nantong and 2,300-2,320 yuan/tonne in Qingdao. Domestic sorghum price keeps steady today: In inner Mongolia, raw sorghum and dried sorghum with freight remain unchanged at 2,040-2,060 and 2,120 yuan/tonne in Hinggan League, and 2,060 and 2,200 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 1,900 and 2,000 yuan/tonne in Qiqihar and 1,960 and 2,040 yuan/tonne in Daqing).
Barley: Barley price stays stable to rise today. (Australian barley: raw sorghum is unchanged at 2,180-2,200 yuan/tonne in Nantong and 2,050 yuan/tonne in Guangdong, and goes up by 20 yuan/tonne to 2,170 yuan/tonne in Qingdao; Canadian barley: raw barley is unchanged at 2,100 yuan/tonne in Nantong; French barley: raw barley is unchanged at 2,020 yuan/tonne in Nantong and goes up by 40 yuan/tonne to 1,960 yuan/tonne in Guangdong; Ukrainian barley: raw sorghum goes up by 60 yuan/tonne to 1,940 yuan/tonne in Guangdong).
According to some traders, port Australian sorghum price has gone up on the back of the domestic sorghum rallies. Besides, importers are unwilling to purchase US sorghum due to its record high cost. In this case, Guangdong port, usually accounting for the lion’s share, has seen a record low point of 7,000 tonnes in stock, and port sorghum market is now propped up as importers show strong sentiment for hoarding to support the price. In addition, importers also become more and more willing to support the barley price amid its tight supply and anti-dumping probes. On the whole, port grain prices all go up today. Merely, sorghum market may turn bearish if import volume increases for an improving US-China trade relationship. In addition, sorghum and barley, the energy feed substitutes of corn, have lost their price advantages , which curbs port grain shipment. Generally speaking, port grain market will likely steady to consolidate in the short term.
(USD $1=CNY 6.93)
