Today (Aug. 23rd), the market for grains in China is shown as follows:

Corn: Domestic corn prices stay stable with some further declines today. The price prevails at 2,030-2,080 yuan/tonne among further processing enterprises in Shandong, with some down by 6-10 yuan/tonne from yesterday. At Jinzhou port, Liaoning, corn with 14.5% moisture and test weight over 720 g/L is priced steadily at 1,880-1,900 yuan/tonne, and test weight 680-700 g/L at 1,860-1,870 yuan/tonne. At Bayuquan port, old corn is priced steadily at 1,850-1,860 yuan/tonne (test weight 690-700 g/L and moisture 14.5%), and new corn at 1,870-1,880 yuan/tonne. At Shekou port, Guangdong, second-class corn is traded lower by 10 yuan at 1,970-1,980 yuan/tonne. 

New corn has gone marketing in huge quantities in some regions of China, but traders still have adequate stockpiles in hand in the Northeast. Meanwhile, feed enterprises tend to buy on immediate demand due to the lingering African swine fever (ASF), which is still not under effective control and has caused the hog herd to decline by 70% and even above in the severely-hit regions. Therefore, corn market is still curbed by the weak fundamentals, and several further processing enterprises have continued lowering down their prices by 10-20 yuan/tonne today. But traders are trying to keep prices stable on account of high-cost stockpiles in hand, so there is limited price declines. Short-term corn prices will probably stay stable with slight declines, and participants can focus on the impact of the weather on corn production in Northeast China.  

Imported sorghum prices keep steady today. (U.S. sorghum is not offered for out of stock in Shanghai, Nantong, Zhangjiagang and Guangdong; Australian sorghum: raw sorghum is 2,360 yuan/tonne in Tianjin, 2,200 in Qingdao and out of stock in Nantong, and dried sorghum is 2,460 yuan/tonne in Tianjin and 2,300 in Qingdao).

Domestic sorghum prices stay stable today. In Inner Mongolia, raw sorghum is 2,140 and dried sorghum is 2,300 yuan/tonne in Hinggan League; raw sorghum is not offered and dried sorghum 2,320 in Chifeng; and dried sorghum 2,200 in Tongliao. In Jilin Province, dried sorghum is 2,300 yuan/tonne in Changchun; raw sorghum sacks and dried sorghum with loading are 2,200 yuan/tonne in Songyuan; sorghum is out of stock in Baicheng; and raw sorghum and dried sorghum sacks are 1,900 and 1,980 yuan/tonne in Taonan. In Heilongjiang Province, dried sorghum with loading is 2,000 yuan/tonne in Qiqihar; dried sorghum with loading is 2,260 yuan/tonne in Daqing, and raw sorghum is 1,900 yuan/tonne and dried sorghum is 2,040 in Heihe. In Shanxi Province, raw sorghum is 2,100 yuan/tonne in Yuncheng, bulk dried sorghum with freight is 2,440 yuan/tonne in Jinzhong, and raw sorghum with freight and dried sorghum with loading are 1,960 and 2,160 yuan/tonne in Xinzhou. 

Imported barley prices remains unchanged today. (Australian barley: raw sorghum is out of stock in Qingdao and bulk raw sorghum is 2,180 yuan/tonne in Nantong; Canadian barley: raw barley is 1,870 yuan/tonne and for brewing is out of stock in Nantong, and raw sorghum is 1,920 yuan/tonne in Qingdao; French barley: raw barley is not offered in Nantong; Ukrainian barley: not offered in Guangdong; Kazakhstan barley: raw barley is 1,850 yuan/tonne in Alashankou Pass, Xinjiang).

Domestic barley price is flat today: it is 1,850 yuan/tonne in Heilongjiang. 

Importers with storage in hand are propping up prices on account of low barley inventories at ports and stubbornly high cost of Australian barley. However, sorghum price is now dragged down by weak demand due to falling corn prices.Meanwhile, port sorghum and barley have lost their price advantage against corn as its energy feed substitutes. Besides, the African swine fever has roiled the original trend of hog breeding cycle in China. Small and medium-size farms have withdrawn from the market and quickened the elimination of breeding sow since the first outbreak last year, and the pig amount has fiercely cut in those provinces reported with more outbreaks. Thus, it will be hard for farmers to rebuild confidence in short time under the heavy blow of the ASF, so that the hog and sow amount has been decreasing. Given this, grain market will be curbed by its later consumption. Generally, port sorghum and barley markets are predicted to keep steady with some fluctuations in the short term, and port sorghum market may be buoyed again by concerns over trade disputes, so market participants can focus on the outcome of trade talks.