Today (Jun 9), the market for grains in China is shown as follows:
Corn:
Domestic corn prices stay stable with slight declines today. The price among deep-processing enterprises in Shandong prevails at 2,170-2,210 CNY/tonne with small adjustment of 4-20 CNY/tonne compared with yesterday. At Jinzhou port, Liaoning, the purchasing price of corn remains flat from yesterday at 2,020 CNY/tonne (moisture 15% and volume weight 700 g/L) and 2,050 CNY/tonne (moisture 15% and volume weight 720 g/L), respectively. At Shekou port, Guangdong, the second-class corn price is raised to 2,140-2,150 CNY/tonne and up 10 CNY/tonne from yesterday.
Market participants took active part in the second round of auction for corn reserve. And the auction was closed at 100% and extended high premium in the three northeast provinces of China. Thus, the cost still offered support to market. Nevertheless, corn price has risen to high levels at the moment, and market reacted not strongly after the second round of auction. The policy grain will be launched in huge quantity. Furthermore, it has entered into wheat harvest in many regions of North China, so traders are prefer clearing out corn stocks. Accordingly, corn flows into the market in many ways, and the tight supply in market will be eased. However, the operation rate among deep-processing enterprises down to recent-year low at the moment and the consumption of poultry feed is lower than expected, which will restrain market trend. Corn prices are mostly stable with slight declines today, and may slightly fluctuate at high levels in the near term.
Sorghum:
Domestic sorghum prices are stable today, of which dried sorghum prices prevail at around 2,680-2,700 CNY/tonne. Imported sorghum is in huge volume and at relatively low prices. Meanwhile, it is not easy to stock up sorghum due to higher temperatures, and distilleries have also suspended purchases and production entering the hottest period of summer. These together weigh on domestic sorghum market. However, both farmers and traders have a strong sentiment for higher prices, as sorghum supplies are reducing and margins are growing. Overall, domestic sorghum prices are predicted to maintain its stable trend.
Domestic sorghum prices are stable today, of which dried sorghum prices prevail at around 2,680-2,700 CNY/tonne. Imported sorghum is in huge volume and at relatively low prices. Meanwhile, it is not easy to stock up sorghum due to higher temperatures, and distilleries have also suspended purchases and production entering the hottest period of summer. These together weigh on domestic sorghum market. However, both farmers and traders have a strong sentiment for higher prices, as sorghum supplies are reducing and margins are growing. Overall, domestic sorghum prices are predicted to maintain its stable trend.
Barley:
Imported barley prices go up today. Starting May 19, China has begun to impose 80.5% of anti-dumping and anti-subsidy tariffs on barley originating in Australia for five years, according to announcements by China’s Ministry of Commerce on May 18th. As of June 5th, imported barley stocks at Guangdong ports, including Machong, Nansha and Xingang, total 98,000 tonnes. And there is no cargo expected to come next week. The relatively low stocks help support barley prices. Merely, barley is in weak demand and slow shipments at present. Overall, imported barley prices are predicted to keep steady with a strengthening trend overall.
(USD $1=CNY ￥7.10)
