Today (Oct. 8), the market for grains in China is shown as follows:

Domestic corn price declines in some regions today. The price prevails at 1,850-1,950 yuan/tonne among deep-processing enterprises in Shandong with declines by 10-40 yuan/tonne from Sept. 30. At Jinzhou port, Liaoning, the price of new corn in 2019 with 14.5% moisture is 1,760 yuan/tonne down by 80 yuan/tonne from Sept. 30. At Bayuquan port, new corn in 2019 is priced at 1,770 yuan/tonne (moisture 14.5%-15%) down by 20 yuan/tonne from Sept. 30. At Shekou port, Guangdong, the second-class corn is traded at 1,940-1,950 yuan/tonne down by 10 yuan/tonne from Sept. 30.

The arrivals of corn in deep-processing enterprises in North China have decreased due to continuous declining price, and the recent price declines slowed. But with the speeding-up marketing of new corn after National Day holiday, deep-processing enterprises still mainly use their own stockpiles, so the corn market is still under fundamental pressure. During National Day holiday, domestic corn prices have decreased by 20-80 yuan/tonne, and declines of corn in Northeast have enlarged. In the absence of any bullish support, corn prices will still mainly run in weak tendency, of which it will keep the support level of 1,700 yuan/tonne at northern ports in check. Participants could keep eyes on the marketing of new corn and the change in demand for corn of feed in the late period.

Imported sorghum prices stay stable with some rises today. (U.S. sorghum: raw sorghum is 2,220 yuan/tonne and dried sorghum is 2,340 yuan/tonne at Tianjin port, and raw sorghum is not offered for out of stock in Shanghai, 2,200 yuan in Nantong, not offered in Zhangjiagang, and 2,150 yuan in Guangdong; Australian sorghum: bulk raw sorghum is 2,420 yuan/tonne and dried sorghum is up by 20 yuan to 2,550 yuan/tonne in Tianjin, and both out of stock in Shanghai, Qingdao and Nantong and Guangdong).

Domestic sorghum prices step down today. In Inner Mongolia, raw sorghum and dried sorghum are not offered for out of stock in Hinggan League; raw sorghum is not offered and 2019 dried sorghum is down by 20 yuan to 2,280 in Chifeng; and dried sorghum is not offered in Tongliao. In Jilin Province, dried sorghum is down by 100 yuan to 2,300 yuan/tonne in Changchun; raw sorghum sacks and dried sorghum with loading are not offered in Songyuan; dried sorghum is not offered in Qian’an; sorghum is not offered in Baicheng; and raw sorghum and dried sorghum sacks are not offered in Taonan. In Heilongjiang Province, dried sorghum with loading is 2,160 yuan/tonne in Qiqihar; dried sorghum with loading is 2,300 yuan/tonne in Daqing, and raw sorghum and dried sorghum are not offered in Heihe. In Shanxi Province, raw sorghum is not offered in Yuncheng, bulk dried sorghum with freight is not offered in Jinzhong, and raw sorghum with freight and dried sorghum with loading are not offered in Xinzhou. 

Imported barley prices are mixed today. (Australian barley: raw barley is out of stock in Qingdao and Tianjin and bulk raw barley is down by 20 yuan to 2,170-2,180 yuan/tonne in Nantong; Canadian barley: raw barley is up by 10 yuan to 1,880 yuan/tonne and for brewing is out of stock at Nantong port, and raw barley is not offered at Qingdao port; French barley: raw barley is not offered at Qingdao port and 1,820 yuan/tonne in Nantong; Ukrainian barley: raw barley is 1,750 yuan/tonne in Nantong and 1,730 yuan/tonne in Guangdong, down 20 yuan/tonne, respectively; Kazakhstan barley: raw barley is not offered at Tianjin port and1,600 yuan/tonne at Alashankou pass, Xinjiang).

Domestic barley price is not offered for out of stock in Heilongjiang today.

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.