Today (Nov.27th), the market for grains in China is shown as follows:
Corn: Domestic corn price stays stable to consolidate today. The price is mainly at 1968-2080 yuan/tonne among Shandong processing companies, mostly stable and some adjusting slightly. 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 1,600 yuan/tonne, 15% moisture of volume weight over 700 g/L is unchanged at 1,890-1,900 yuan/tonne, and 15% moisture of volume weight over 720 g/L is unchanged at 1,920-1,950 yuan/tonne. At Bayuquan port, 2018 new corn is unchanged at 1,900-1,910 yuan/tonne (volume weight 700-720 g/L); old corn goes higher by 20 yuan/tonne at lows to 1,800-1,830 yuan/tonne (volume weight 690-700 g/L, mildew 3-4%). At Shekou port, Guangdong, second-class old corn goes higher by 20 yuan/tonne to 2,000-2,020 yuan/tonne.
In northeast regions, farmers are still in strong bullish sentiment, making the sale pace of new corn remain slow. Seeing this, processing companies and storage enterprises around have continued to raise the price. Encouraged by the sentiment of “selling upon the declines instead of upon rises”, in North China, sellers are also hoarding to support the price. Therefore, short-term corn price will still maintain to consolidate at highs amid scattered effective supply. But some Shandong factories have seen an increasing quantity from both Northeast sellers and local planters in recent two days, so corn price stops rising to fall fractionally. Besides, planters are expected to enter into a sale cycle heading into December after harvesting their late corn. Additionally, 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 sale paces.
Sorghum: Imported sorghum price stays stable today. (US sorghum: raw sorghum is unchanged at 2,130-2,150 yuan/tonne in Shanghai, 2,080 in Nantong, 2,070-2,080 in Zhangjiagang and 2,040-2,050 in Guangdong; dried sorghum is 2,240-2,250 in Nantong. Australian sorghum: raw sorghum is unchanged at 2,240 yuan/tonne in Tianjin, 2,250-2,280 in Shanghai, 2,250 in Nantong and 2,230-2,250 yuan/tonne in Qingdao; dried sorghum is unchanged at 2,350 in Tianjin, 2,350-2,360 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 today. (Australian barley: raw sorghum is unchanged at 2,200 yuan/tonne in Qingdao; Canadian barley: raw barley is unchanged at 2,100 yuan/tonne in Nantong; French barley: raw barley is unchanged at 2,060 yuan/tonne in Nantong; Ukrainian barley: raw sorghum is unchanged at 1,920-1,940 yuan/tonne in Guangdong).
Currently, import cost for US sorghum remains at a historical high level so that importers have no intention of purchasing. In this case, import volume of port US sorghum keeps sliding, under which Guangdong port, usually accounting for the lion’s share, has seen a record low of 4,000 tonnes. Additionally, the purchase volume for Australian sorghum has been scarce as its import cost also remains high. Therefore, sorghum market is now supported by holders’ reluctance to sell. In the meantime, importers are trying to lifting port barley price for its high cost and stock shortage. Merely, sorghum and barley, as energy feed substitutes of corn, have lost their price advantages, which curbs port grain shipment. In the coexistence of the bull and the bear, port grain market stays stable today, and port barley and sorghum market will likely steady to consolidate in the short term.
(USD $1=CNY 6.94)
