Today (Apr. 29), the market for grains in China is shown as follows:
Corn:
A rally in domestic corn prices slows today. The price among deep-processing enterprises in Shandong prevails at 2,160-2,200 CNY/tonne with no change compared with yesterday. At Jinzhou port, Liaoning, the purchasing price of corn is 2,010 CNY/tonne (moisture 15% and volume weight 700 g/L) flat from yesterday and 2,060-2,070 CNY/tonne (moisture 15% and volume weight 720 g/L) up by 10-20 CNY/tonne from yesterday respectively. At Shekou port, Guangdong, the second-class corn price remains at 2,150 CNY/tonne unchanged with yesterday.
Corn prices up to high levels after a consecutive increase, and some enterprises are in a wait-and-see mood. Particularly feed mills mostly buy on immediate demand as they’ve already made a replenishment in early stage. Besides, April will soon be over and the policy auction is approaching. News came yesterday that the charge of toll roads would be resumed nationwide since May 6th, approved by the Ministry of Transport and the State Council. During the policy-sensitive period, some traders are not reluctant for profitable sales. Furthermore, the morning arrivals of corn in Shandong stop declining and start growing, with an increase of 400 trucks. And the prices among local deep-processing enterprises cease rising and turn to be stable. Nevertheless, the circulation of corn in market is still restricted as stocks bottoms out. Likewise, the inventories among domestic deep-processing enterprises are still lower than the same period last year. Therefore, corn market will maintain a strong trend before policy becomes clear. Buyers can keep close eyes on it.
Sorghum:
Domestic sorghum prices are stable today, of which dried sorghum prices prevail at around 2,800 CNY/tonne. Both farmers and traders have a strong sentiment for higher prices, as sorghum supplies are reducing and margins are growing. But imported sorghum is in huge volume and at relatively low prices, which will to some extent weigh on domestic sorghum market. Overall, domestic sorghum prices are predicted to maintain its stable trend.
Imported sorghum prices are flat today, of which US raw sorghum is quoted at 2,080 CNY/tonne. There is no goods available at both Nantong port and Shanghai port, and only some small supply at Tianjin and Guangdong ports. However, in the week ending April 23rd, US sorghum exports to China mainland totaled 206,451 tonnes, with a total of 803,837 tonnes since March, according to USDA weekly report on exports for inspected. Hence, imported sorghum prices are predicted to remain stable before those vessels arriving.
Barley:
Imported barley prices are stable today. Farmers become active making hog replenishment due to considerable breeding margins at present, and the demand from egg-poultry breeding will also pick up. The market is positive about the prospect of feed demand from the second quarter, as feed mills have a decent demand recently. Traders tend to stall sales to prop up prices. Overall, imported barley price is predicted to stay stable.
(USD $1=CNY ￥7.07)
