Grain Highlights 20.04.2021

A large trading and processing company from Canada bought two cargoes of rapeseed from Ukraine with delivery in August.

- France bought 45,000 tons of Romanian wheat with delivery at the end of April. 

- From the beginning of the season to April 18, 2021, 33.349 million tons of grain were exported from the EU (excluding Great Britain), which is 22.8% less than the previous year. Imports reached 16.257 million tons (-21.5%). Corn imports reached 11.763 million tons (+ 2.1%).

- According to the DRV forecast, total grain production in Germany will be 44 million tons in 2021/22 compared to 43.5 million tons in the previous estimate and 43.3 million tons in 2020/21. The wheat production is projected at 22.6 million tons (+0.3 and 22.1), barley production is estimated at 11.1 million tons (+0.1 and 10.8) and corn production is expected to reach 3.6 million tons (4 million tons in 2020).

- As of April 18, 2021, 3% of the planned soybean areas in the USA have been sown. 8% are sown with corn and 19% with spring wheat. 53% of the winter wheat crops are in good and excellent condition compared to 57% a year earlier.

- Yesterday, commodity funds in Chicago were net buyers of 12,500 contracts of corn and 7,500 contracts of soybeans and neutral to wheat.

- A large trading and processing company from Canada bought two cargoes of rapeseed from Ukraine with delivery in August. Canada's ending canola stocks are expected to reach 700,000 tons, down from 2.4 million tons a year earlier. Canada's domestic canola prices are now USD 730 per ton, up 70% from the previous year. For now, forecasts point to a canola production of 20 million tons in Canada in 2021/22, but drought and late sowing campaign put that forecast into question. Now, the forward prices of Ukrainian rapeseed are 570 - 580 USD/ton, which is 150 - 160 USD/ton lower than the forward rapeseed prices in Canada.

- The authorities in Brazil have abolished the duty on imports of soybeans, corn, soymeal and soyoil. The aim is to reduce food inflation in the country. Larger imports are expected from the United States.

- In May, China imported 7.18 million tons of soybeans from the United States compared to only 1.71 million tons in March 2020. Deliveries from Brazil were 315,300 tons (-85%). Total soybean imports reached 7.77 million tons (+82%).

- Morocco plans to increase the duty on imports of soft and durum wheat given the expected good production in the country. Usually, the country imports 2-3 million tons of wheat, mainly from France. In 2021, the expected grain production will be 9.5 million tons compared to only 3.2 million tons in 2020.