Today (Apr 12), the market for grains in China is shown as follows:

Corn:

Corn prices in China adjust with fluctuations today. And the average price is 2,776 CNY/tonne nationwide, a rise of 8 CNY/tonne from last Friday. Deep-processing enterprises in Shandong offer at 2,780-2,990 CNY/tonne, a slight adjustment of 10-50 CNY/tonne. At Jinzhou port, Liaoning, 2020 new corn (volume weight with 690-720 g/L, moisture content within 14.5%, impurity with 1%, dent with 8%, mildew with 2%) is purchased at 2,730-2,770 CNY/tonne, up 30-40 CNY/tonne from last Friday. At Bayuquan port, Liaoning, the purchasing price of 2020 new corn (volume weight with 680-720 g/L, moisture content within 15%, impurity with 1%, mildew with 2%) is mostly not available and partly raised to 2,730-2,770 CNY/tonne. At Guangdong port, Grade II new corn is offered at 2,800 CNY/tonne, unchanged.

There is not enough ground-corn (piled on the ground) left in Northeast China, and some farmers are busy with spring ploughing and having no time to sell corn. Plus, they are not in hurry to make sales of dry corn. All these factors have offered a support to market. Nevertheless, corn futures stop the rises and edge lower, depressing market sentiment. Some traders successively sell corn as they are unconfident about after-market. There are more than 400 trucks waiting to get unloaded in North China earlier this morning. In this case, enterprises partly cut the price by 6-20 CNY/tonne from yesterday and totally reduce it by 10-50 CNY/tonne compared to last Friday.

The demand from Southern market is still flat, and African swine fever takes resurgence in some areas. Accordingly, pig farms look bearish on after-market and are active in slaughtering hogs. Besides, imported grain is arriving at ports in succession, and wheat is more cost-effective than corn, leading to a sluggish demand for corn. In addition, market has it rumored that there will be sales of paddy and wheat totaling about 20 mln tonnes specially to ethanol enterprises started from May. If true, corn prices will continue being depressed. Overall, dominated by bearish fundamentals, China’s domestic corn market may mainly adjust with fluctuations. Market participants should keep close eyes on the pace of corn selling, arrivals of imported corn and relevant policies.

Sorghum:

Domestic sorghum prices are stable with a partial decline today, of which dried red sorghum is 4,000 CNY/tonne in Changchun, Jilin and down 100 CNY to 3,900 CNY in Jinzhong, Jiangxi. Downstream buyers have limited acceptance of high sorghum prices, which is weighing down the market. Hence, domestic sorghum market is predicted to steady with an overall weak trend.

Imported sorghum prices steady with a partial decline in China today, of which raw U.S. sorghum is 2,470 CNY/tonne at Tianjin Port and down 40 CNY to 2,580 CNY at Guangdong ports; bulk raw Australian sorghum is 2,850 CNY at Tianjin Port. Huge sorghum arrivals at ports are weighing on prices, but as a substitute for corn, imported sorghum keeps firm under the support of high corn prices. Overall, imported sorghum prices are expected to steady with a weakening trend before huge cargoes arriving at ports.

Barley:

Imported barley prices are stable with a partial decline in China today, of which Canadian barley is 2,400 CNY at Guangdong ports, down 20 CNY to 2,330 CNY/tonne at Qingdao Port, and 2,300 CNY at Nantong Port. There are more imported barley cargoes expected to arrive at domestic ports, and some feed manufacturers are also making purchases. Overall, imported barley prices are predicted to steady with an overall weak trend in China.

(USD $1=CNY ¥6.56)