Today (Dec. 18), the market for grains in China is shown as follows:

Domestic corn price stays stable with slight adjustment today (Dec. 18). The price prevails at 1,884-2,000 yuan/tonne among deep-processing enterprises in Shandong with individual adjustments of 4-10 yuan/tonne compared with yesterday. At Jinzhou port, Liaoning, the purchasing price of new corn in 2019 (moisture 14.5% and test weight over 720 g/L) is 1,820 yuan/tonne unchanged from yesterday and the FOB price is 1,870 yuan/tonne; while the purchasing price of corn (moisture below 15% and test weight 690-700 g/L) is 1,800-1,805 yuan/tonne and the FOB price is 1,850-1,855 yuan/tonne the same as yesterday. At Bayuquan port, new corn in 2019 is traded at 1,790-1,800 yuan/tonne (test weight 690-700 g/L) unchanged with yesterday and 1,810 yuan/tonne (test weight 720 g/L) the same as yesterday. At Shekou port, Guangdong, the second-class corn is steadily traded at 1,950 yuan/tonne from yesterday, and individual price remains to be conferred.

It is more than one month away from the Spring Festival. And farmers in Northeast China usually discontinue the sale of corn after the Little New Year, so it leaves less than a month for selling corn. But some farmers need to repay the loan before Spring Festival. According to Cofeed, current progress of sales in the three northeast provinces of China is lower than previous years, and the volume put into market will still be pushed forward steadily in the next days. Thus, the market is still under pressure of phased supply. Today, corn price in individual regions declines further by 5-10 yuan/tonne. Nevertheless, some businesses will start a round of stockpiling before Spring Festival, which will offer support to market. In consequence, even if the short-term corn price falls, the downward space is limited. Buyers can pay attention to the pace of corn selling, the status of stockpiling, as well as the impact of weather variation on sales.

Domestic sorghum prices are stable today, of which dried sorghum is priced at 2,400-2,500 yuan/tonne nationwide. (In Heilongjiang, dried sorghum 2,240 in Qiqihar and traded at 2,400 yuan in Heihe. In Inner Mongolia, raw sorghum 2,340 yuan/tonne in Hinggan League and dried sorghum 2,500 yuan/tonne in Chifeng. In Jilin Province, dried sorghum 2,500 yuan/tonne in Songyuan and 2,360-2,380 yuan/tonne in Baicheng, raw sorghum 2,340 yuan/tonne in Qian’an, and raw sorghum 2,340 yuan/tonne and dried sorghum 2,460 yuan/tonne in Taonan. In Shanxi, dried sorghum 2,650 yuan/tonne in Jinzhong.) Prices for new sorghum keep firm at present, which can be contributed to its smaller planting acreage, lower quality and production due to the frost coming earlier than usual and less surplus sorghum than last year in many regions. But the weak demand is also weighing down the prices. So short-term prices are likely to keep steady with narrow fluctuations. 

Imported sorghum prices keep steady today at 2,200-2,400 yuan/tonne at domestic ports. (Nantong port: US raw sorghum 1,980-2,070 yuan/tonne; Guangdong port: US raw sorghum 2,100 yuan/tonne. Suqian: US sorghum 2,440 yuan/tonne.) In terms of prices, sorghum has lost a competitive advantage over corn, which in turn weighs down imported sorghum prices. And after the signing of a trade deal officially, China will substantially increase imports of agricultural products from the United States, including soybean, corn, sorghum, barley, wheat, DDGs, pork and poultry meat. Short-term sorghum price is predicted to keep steady with a slight decline. 

Imported barley prices are flat today, of which Australian raw barley is 2,000-2,100 yuan/tonne at domestic ports. (Nantong port: Canadian raw barley for feed 1,850-1,860 yuan/tonne, French barley 1,776, and Ukrainian raw barley 1,730; Guangdong port: Ukrainian barley 1,740 yuan/tonne.) In terms of prices, barley has lost a competitive advantage over corn. And the demand from hog breeding is also small due to the African swine fever, which is a curb on the spot market. And growing port supply is also weighing down the market. But importers have a strong intention to prop up prices due to low stocks in hand and stubbornly high import cost from Australia. Short-term prices are predicted to keep steady with narrow fluctuations.