Today (Nov.29th), the market for grains in China is shown as follows:
Corn: Domestic corn price continues to steady to consolidate today. The price is 1,956-2,080 yuan/tonne among Shandong processing enterprises, down slightly by 4-10 yuan/tonne from yesterday. At Jinzhou port, Liaoning, old corn is unchanged at 1,860 yuan/tonne; 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 goes up by 20 yuan/tonne to 1,920-1,930 yuan/tonne (volume weight 700-720 g/L); old corn goes up by 20 yuan/tonne to 1,820-1,850 yuan/tonne (volume weight 690-700 g/L, mildew 3-4%). At Shekou port, Guangdong, second-class old corn goes up by 10 yuan/tonne to 2,010-2,030 yuan/tonne.
With an increasing amount of corn from Northeast and local sellers, corn price has dropped by another 4-10 yuan/tonne in Shandong. However, subject to the sentiment of hoarding for bullish market among farmers, new corn sales are still slow in Northeastern regions, so some surrounding processing enterprises and storage companies employ themselves actively in purchasing. Corn price will edge up easily in Northeast before periodical supply tensions ease. But planters are expected to enter into a sale cycle heading into December after harvesting their late corn. Additionally, corn feed consumption is slow amid the contagious African swine fever. Generally speaking, there are still uncertainties in corn market and risks of intensive sales.
Sorghum: Imported sorghum price stays stable today. (US sorghum: raw sorghum is unchanged at 2,150 yuan/tonne in Shanghai, 2,080 in Nantong, 2,080 in Zhangjiagang and 2,050 in Guangdong; dried sorghum is 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, 2,360 in Nantong and 2,320 yuan/tonne in Qingdao. Domestic sorghum price keeps steady today: In Yuncheng, Shanxi, raw sorghum is 2,120 yuan/tonne; 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 2,080-2,100 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 2,060 yuan/tonne in Qiqihar and 2,000 and 2,100 yuan/tonne in Daqing, and dried sorghum is unchanged at 2,040-2,100 yuan/tonne in Heihe).
Barley: Barley price stays stable today. (Australian barley: raw sorghum is unchanged at 2,200 yuan/tonne in Qingdao; Canadian barley: raw barley goes higher by 20 yuan/tonne to 2,120 yuan/tonne in Nantong; French barley: raw barley goes higher by 10 yuan/tonne to 2,070-2,080 yuan/tonne in Nantong; Ukrainian barley: raw sorghum goes higher by 40 yuan/tonne to 1,960 yuan/tonne in Guangdong).
Currently, import cost for US sorghum remains at a historical high level so that importers have no intention for purchase. 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 in stock. Meanwhile, the purchase volume for Australian sorghum has been scarce as its import cost also remains high. Additionally, import volume of Australian barley may reduced later for its cost has increased sharply due to the anti-dumping policy. Holders are hoarding to support the price now, for barley stocks have been shrinking at main ports, not to mention other ports. The overall port grain price keep steady to rise today. Merely, the overall demand is soft at present, for both sorghum and barley, as energy feed substitutes of corn, have lost their price advantages, which curbs port grain shipment and limits its price hikes. Generally speaking, port barley and sorghum market will likely steady to consolidate in the short term.
(USD $1=CNY 6.95)
