Today (Jun 29), the market for grains in China is shown as follows:

Corn:

Corn prices stay stable with slight adjustment in some regions of China. The price among deep-processing enterprises in Shandong prevails at 2,270-2,340 CNY/tonne with a slight change of 10-40 CNY/tonne compared with yesterday. At Jinzhou port, Liaoning, the purchasing price of corn remains flat at 2,125 CNY/tonne (moisture 14.5% and volume weight 700 g/L) and 2,145-2,150 CNY/tonne (moisture 14.5% and volume weight 720-730 g/L), respectively. At Shekou port, Guangdong, the second-class corn is priced at 2,240-2,250 CNY/tonne unchanged with yesterday.

The fifth round of auction for corn reserve still was closed at 100% and the premium is also high, offering support to market. Nevertheless, the premium last week shrank slightly compared with the previous week. Besides, the deposit of corn reserve was raised and the payment deadline was put forward. In addition, with a public notice about auction issuing, the rumor that auction would be halted on July 2nd has collapsed itself. And the amount of corn for auction increases to 4.1 mln tonnes from 4 mln tonnes. Furthermore, disposable reserve regulated by policy has been carried out in Shandong, so downstream enterprises are in a wait-and-seed mood. It is learned that the ex-warehouse of corn reserve auctioned previously will be accelerated, so downstream enterprises take a wait-and-see attitude. Corn price in producing areas and at ports is stable, and also, the overall spot market is projected to keep steady at high levels. Buyers can pay attention to the progress in ex-warehouse of policy-oriented corn.

Sorghum:

Domestic sorghum prices remain stable today, of which dried sorghum prices prevail at around 2,680-2,700 CNY/tonne. Chinese importers have bought relatively huge amount of sorghum, which will be at relatively low prices. Moreover, it become more difficult to stock up sorghum as the weather gets warmer and warmer, and distilleries have also suspended purchases and production entering the hottest period of summer. These together weigh down domestic sorghum market to some extent. But domestic sorghum supplies are reducing and margins are growing, so that farmers and traders both tend to prop up prices. Overall, domestic sorghum prices are predicted to maintain its stable trend.

Imported sorghum prices are stable in China today, of which US raw sorghum is quoted at 2,000 CNY/tonne. The uptrend in corn prices is bullish to sorghum market, and the cost of importing sorghum is also strengthening due to the coronavirus pandemic. However, imported sorghum stocks at Guangdong ports total 323,000 tonnes as of June 24th. An expected rise in sorghum arrivals will probably weigh down US sorghum prices in China.

Barley:

Imported barley prices are stable 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. This will reduce barley imports from Australia, which is bullish to barley prices. And as of June 24th, imported barley stocks totaled 53,000 tonnes at Guangdong ports. The relatively low stocks and the cost of import together 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 ¥7.08)