Today (Jul 9), the market for grains in China is shown as follows:

Corn:

Corn prices stay stable with slight adjustment in several regions of China. The average corn price in China is 2,164 CNY/tonne, which is flat from yesterday. The price among deep-processing enterprises in Shandong prevails at 2,262-2,340 CNY/tonne and individually adjusts by 4-20 CNY/tonne compared with yesterday. At Jinzhou port, Liaoning, the purchasing price of corn is 2,130 CNY/tonne (moisture 14.5% and volume weight 700 g/L), flat from yesterday, or 2,160 CNY/tonne (moisture 14.5% and volume weight 720-730 g/L), up by 10CNY/tonne from yesterday. At Bayuquan port, corn is steadily priced at 2,140 CNY/tonne (volume weight 700 g/L) from yesterday. At Shekou port, Guangdong, the second-class corn is priced at 2,270-2,280 CNY/tonne, unchanged with yesterday.

The seventh round of auction for corn reserve is in progress and still closed at 100%. And the overall premium continues setting a fresh record. As high cost keeps offering support to market, traders who have inventory in hand are more confident about the after-market and offer the price also firm. Even more, several traders intend to raise price. Corn arrival in Shandong declines again in recent two days. In addition, with the forthcoming ex-warehouse of corn reserve auctioned previously after entering into July, traders successively take delivery of goods due to considerable profit. Besides, corn and grain are arriving at southern and northern ports successively, and current price has risen to high levels as imported so downstream businesses are in a wait-and-see mood. Thus, short-term corn price may keep staying at highs. Buyers can keep eyes on the auction and the progress in ex-warehouse of 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 flat 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 487,000 tonnes as of July 3rd. An expected rise in sorghum arrivals will probably weigh down US sorghum prices in China.

Barley:

Imported barley prices steady 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. Chinese importers now are scarcely interested in Australian grains. And as of July 3rd, imported barley stocks totaled 41,000 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 ¥7.01)