A run of offshore buying has lifted Northern Hemisphere values overnight, while Australia markets softened.
- Chicago wheat March 2023 contract up US14 cents per bushel to 795.5/bu;
- Kansas wheat March 2023 contract up 12.75c/bu at 899.75c/bu;
- Minneapolis wheat March 2023 contract up 8.5c/bu to 943c/bu;
- MATIF wheat March 2023 contract up €3.20/t to €316/t;
- Black Sea wheat March 2023 contract down US$0.50/t to $320/t;
- Corn March 2023 contract down 2.5c/bu to 667c/bu;
- Soybeans March 2023 contract up 9.5c/bu to 1475.5c/bu;
- Winnipeg canola March 2023 contract was up C$9.10/t to $843.80/t;
- MATIF rapeseed February 2023 contract up €13.75/t to €599.75/t;
- ASX Jan 2023 wheat contract settlement down A$1/t to $402/t;
- ASX Jan 2023 barley contract down $7/t at A$318/t;
- AUD dollar firmer at US$0.679.
The first shipment of Russian fertiliser bound for Africa has left the Netherlands. Dutch and UN officials said 20,000t of nitrogen, phosphorus and potassium (NPK) left on Tuesday afternoon, bound for Malawi. There is around 260,000t of Russian-produced fertiliser stored in ports around Europe. The shipment is the first of many, UN Secretary-General António Guterres, said in a statement. The UN was continuing “intense diplomatic efforts with all parties to ensure the unimpeded exports of critical food and fertilisers from Ukraine and the Russian Federation, exempt from sanction regimes, to the world markets”.
There are increasing reports coming out of China in relation to problems with its rapeseed crop, with a working group of oilseed experts reportedly dispatched. China’s rapeseed crop is mostly grown in the middle and lower portions of the Yangtze River Valley, which suffered significant drought stress during the planting window. The crop is reportedly underdeveloped heading into winter, which will make it more vulnerable to cold conditions.
Argentina’s preferential exchange rate for soybean sales boosted activity to a two-month high this week, with 299,000t of 2021-22 beans sold on Monday, compared to 78,303t sold on Friday.
Based on samples from grain exporters, Cereals Canada noted excellent quality and high-protein levels in the 2022-23 wheat crop.
Due to attractive prices, Indian farmers are reportedly considering sowing marginal cropland to 2023-24 wheat in some states, including in Gujarat and Rajasthan. According to local farmers, producers in the key producing states of Punjab and Haryana are also keen on planting wheat early in order to minimise damage from potential hot weather in the run-up to harvest.
Turkey’s State Grain Board has provisionally purchased an estimated 455,000t of milling wheat, expected to be mostly sourced from Ukraine, at around US$329.90-$344 c&f, for Dec-Feb shipment.
South Korea’s MFG bought another 69,000t of South American corn in addition to 70,000t purchased in a tender yesterday, at $336/t c&f for Jan-Feb shipment.
Pakistan is seeking 500,000t of wheat in a tender, with its lowest offer coming from Russia at $372/t C&F. Offers range up to $398/t.
Harvest cash markets continued their downward trend for the week and bids were off another A$7-$10/t along the east coast for wheat and barley. In South Australia, cash bids continued to pull back over the course of the day, while ASW1 in WA was still trading at $335 FIS on Clear Grain Exchange.
Harvest bans were in place in WA yesterday due to predicted extreme fire-danger conditions in the Midwest.
PIRSA has released its first production estimate for the 2022-23 cropping season. with a new SA record of 12.1 million tonnes (Mt) expected to easily exceed the previous record of 11.1Mt set in 2016–17.