Today (May 11), the market for grains in China is shown as follows:
Corn:
Corn prices stop rising and start falling in some regions of China today. The price among deep-processing enterprises in Shandong prevails at 2,210-2,250 CNY/tonne with a partial decline of 4-10 CNY/tonne compared with last Saturday. At Jinzhou port, Liaoning, the purchasing price of corn is flat from yesterday at 2,020 CNY/tonne (moisture 15% and volume weight 700 g/L) and 2,045-2,055 CNY/tonne (moisture 15% and volume weight 720 g/L), respectively. At Shekou port, Guangdong, the second-class corn is priced at 2,140 CNY/tonne, which is a little lower by 10 CNY/tonne than last Saturday.
The Heilongjiang disposable-reserved corn totaling around 3.7 mln tonnes will be firstly auctioned on May. 15 and a full responsibility of sale will be held after that, with a total of around 8 mln tonnes of corn launched into the two events. And the auction of temporary-reserved corn will come to the market after May. 20. With the upcoming launch of policy-oriented grain, futures trading goes down on the news. But corn price has increased to high levels for the moment, and some enterprises are in a wait-and-see mood. Particularly feed mills mostly buy on immediate demand as they’ve already made replenishment in early stage. Meanwhile, the forthcoming auction coupled with room clear for wheat harvest, lead traders around North China to be more willing to sell corn. Consequently, the morning arrivals of corn surpass about 1,000 trucks today. And corn price among some local enterprises falls by 4-10 CNY/tonne. In addition, imported corn and grain are arriving at ports successively, which will restrict recent market trend. Participants need to beware of the falling pressure brought by inventory clear before the auction.
Sorghum:
Domestic sorghum prices are stable today, of which dried sorghum prices prevail at around 2,740-2,800 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, and warmer weather also makes it difficult to keep goods in stock, 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 2,090 CNY/tonne. There is no goods available at both Tianjin port and Shanghai port, and only some small supply at Guangdong ports, which support US sorghum prices to maintain a strengthening trend.
Barley:
Barley: Imported barley prices are stable today. Hog and sow stocks continue rising moderately, adding to the demand for feed, and traders tend to stall sales to prop up prices, which are bullish to the market. Overall, imported barley price is predicted to stay stable. China is considering imposing anti-dumping duties of up to 73.6% and countervailing duties of up to 6.9% for barley imported from Australia, according to reports by foreign media. But China has not officially respond to this news.
(USD $1=CNY ￥7.08)
