Friday’s wheat market moves were mostly weaker by less than 1pc. Corn, rapeseed and canola firmed a little.
- Chicago wheat December contract down US6.75 cents per bushel to 795.25c/bu;
- Kansas wheat December contract down 12c/bu to 856c/bu;
- Minneapolis wheat December contract down 8.25c/bu to 900.5c/bu;
- MATIF wheat December contract down €2/t to €326.25/t;
- Black Sea wheat December contract down $1/t to $345/t;
- Corn December contract up 3.75c/bu to 610c/bu;
- Soybeans November contract down 9c/bu to1408.75c/bu;
- Winnipeg canola November 2022 contract was up C$6.90/t to $850.20/t;
- MATIF rapeseed November 2022 contract up €4.75/t to €653.25/t;
- ASX Jan 2023 wheat contract up A$4/t to $414/t;
- AUD dollar weaker at US$0.691.
Russian wheat harvest progress at 2 August was reported at 9.9 million hectares, producing 43.9 million tonnes (Mt) which equates to a yield of 4.43t/ha. Yield is close to 2017, which produced a crop of 85Mt. “There was too much rain for winter wheat…which hit… quality…as farmers typically say gluten and protein have been washed away”, leading consultancy and Black Sea market analyst SovEcon said. Despite the impact in several regions of Russia on the quality of winter wheat yield prospects for spring crops, including spring wheat had been improved it said.
The Joint Coordination Centre (JCC) said late on Saturday it had authorised the departure of a total of five new vessels through the Black Sea corridor: four vessels outbound from Chornomorsk and Odesa carrying 161,084t foodstuffs, and one inbound. The outbound ships include two carrying corn, one meal and one sunflower oil.
A “significant” US rain event is expected to bring temporary relief from crop stress in the western Corn Belt later this week. World Weather Information Service says amounts and coverage levels from this rain event will be critical for the driest areas as a period of hot and dry conditions will follow for a week to 10 days. Conditions are expected to remain favourable for much of the eastern Corn Belt.
FranceAgriMer reports 63pc of the French corn crop was in good or excellent condition by August 1, down from 68pc the previous week. The crop condition has declined significantly in the past month due to drought and heatwaves during the key summer growth period.
The Ministry of Agriculture, Agrifood, and Forestry in France raised its wheat production estimate by 1Mt to 33.9Mt, reflecting better than expected yields. In its first forecast for corn production, it projected the harvest at 12.36Mt, down almost 19pc from last year. That reflected both an expected drop in the average yield and a fall in area planted.
According to the Buenos Aires Grains Exchange last week’s rain over Argentina’s central and southern agricultural areas slowed the deterioration of wheat plants that have already begun growing, while promoting the growth of plants that had “presented delays due to the lack of humidity and low temperatures.” It said although northern agricultural areas could be compromised if it remained dry during critical stages of crop development.
Local markets ended last week with low liquidity bids for old crop pulling away. New crop wheat markets ended unchanged. Barley new crop eased $10-20/t last week. Canola prices saw significant moves in both directions reflecting moves in international markets.
Rainfall totals for the week ending 7 August were high across southern WA with 10-50mm received and higher falls recorded closer to the coast. SA and Vic picked up 15-50mm with higher totals of up to 100mm in south east Vic. NSW picked up between 100mm and 150mm in parts of the south east and north east and 15-50mm in most other cropping regions. Qld picked up 15-50mm in the south west and CQ. Lower totals below 10mm were recorded for most other areas.