Grain Highlights

19 Oct, 2017
Grain Highlights
As of October 17, 2017 soybean oil stocks in China reached a record level of 1.6 million tonnes at 1.3 million tonnes a year earlier, according to CNGOIC. Increase is due to strong import od soybean and increased domestic production +12% yoy.

Wheat

- On October 17, 2017 Algeria purchased 660,000 tonnes of wheat of optional origin and January 2018 shipment at price of 210-212.50 USD / mt, C & F. Merchants believe that the main amount of wheat will be delivered by France, but there may also be a quantity from Argentina.

- US Wheat Associates closes its office in Cairo, due to the fact that In the recent years Egypt has hardly purchased US wheat. The last two purchases of US wheat by Egypt were in May 2017 and February 2015.

- During the period January - August 2017. 608,000 tonnes of wheat were imported into Azerbaijan, 36.2% less than last year.

- The highest protein content in the Black Sea wheat, in 2017, is expected in the Bulgarian crop 12.4% and the Russian one 12.2%. Serbian wheat - 12.2%, Romanian - 12%, Ukrainian - 11.3% and Moldovan - 11%.

- According to FAO forecast, in 2017 - 2018, wheat export from Russia will reach 32.2 million tonnes, followed by EU 28.5 million tonnes, the US 26.3 million tonnes, Canada 20.5 million tonnes, and Australia 18.153 million tonnes. Export from Ukraine will reach 16.5 million tonnes.

 

Grain

- In 2016 - 2017, 232,600 tonnes of grain were exported from Ukraine to countries along the Danube River - Germany, Romania, Moldova, Austria, Hungary and Bulgaria. The major customer is Germany with a share of 50%, followed by Romania 22% and Moldova 17%.

- During the period January - September 2017, agricultural production worth $13.1 billion is exported from Ukraine.,  25% more than the previous year. Asia's export share is 42% and the EU 32.1%.

- A group of Israeli processors purchased 15,000 tonnes of feed wheat and 10,000 tonnes of feed barley for January 2018 shipment.

- As of O ctober 1, 2017. grain stocks in Russia's agricultural organizations reach 57.775 million tonnes, up by 8.17 million tonnes yoy.

 

Oil crops and vegetable oils

- In 2017 - 2018 production of sunflower oil in Russia will drop to 4.45 million tonnes from 4.61 million tonnes in 2016-2017. Export will also drop to 1.8 million tonnes (1,927). The reason for the decline is the lower sunflower crop of 10.5 million tonnes (11).

- As of October 17, 2017. soybean oil stocks in China reached a record level of 1.6 million tonnes at 1.3 million tonnes a year earlier, according to CNGOIC data. Stocks increased due to strong soybean import and increased domestic production + 12% yoy.

- In September, 25,600 tonnes of vegetable oils were produced in Kazakhstan, which is 4% less than in September 2016. and 7% more than the average for the past five years.

- In 2017 - 2018. sunflower import into Turkey will reach 575,000 tonnes at 620,000 tonnes a year earlier. Sunflower areas are 6.7 million hectares (5.8) and crop - 1.62 million tonnes (1.35). The decline is due to lower sunflower crop in Russia 11.25 million tonnes (11.75) and Ukraine 13.25 million tonnes (15.25).

- Until 2020 China's sunflower oil import will reach 2 million tonnes at 0.9 million tonnes in 2016 according to ISOA forecast. Now the share of this oil in the total oil consumption in China reaches only 3%. In 2017. it is expected to be 1,014 million tonnes at only 524,000 tonnes in 2014.

- In 2020. import of sunflower oil to India could reach 3 - 3.3 million tonnes according to ISOA forecast. In 2017 - 2018 the import will be 1.8 million tonnes. This is due to population growth in the country + 1.76% per annum, growth of the consumption of vegetable oils by + 3 + 5% compared to the current level and the share of unflower oil in the total oil consumption from 9% to 11-12%.

- In September, US soybean processing reached 3.71 million tonnes, with market expectations of 3.76 million tonnes and 3.87 million tonnes in August 2017.