Grain Highlights 27.04.2021

Asian feed producers are gradually switching to wheat as a corn alternative due to the very high corn prices.

- Asian feed producers are gradually switching to wheat as a corn alternative due to the very high corn prices. China, Vietnam and South Korea are now buying wheat from Australia and the Black Sea region due to the big difference in C&F corn prices. Now, milling wheat with delivery in August is offered at a price of 290 USD/ton C&F in Asian countries and corn with delivery in August is offered at 305 - 310 USD/ton C&F.

- Egypt's state-owned company GASC has canceled a tender for the purchase of milling wheat of any origin and delivery on August 11-20, 2021 due to high prices.

- From the beginning of the season to April 25, 2021, 33.94 million tons of grain were exported from the EU, which is 24.1% less than the previous year. Imports reached 16.443 million tons (-22.9%). Corn imports have reached a total of 12.152 million tons for the period (-29.8%).

- As of April 25, 2021, 8% of the planned soybean areas have been sown in the United States. 49% of winter wheat crops (53% and 54%) are in good and excellent condition. The sowing campaign of corn was carried out on 17% of the planned areas.

- Yesterday, commodity funds in Chicago were net buyers of 60,000 contracts of corn, 16,000 contracts of soybeans and 18,000 contracts of wheat.

- As of April 22, 2021, 3.7 million tons of sunseed oil or 69% of the planned were exported from Ukraine.

- According to ANP data, biodiesel production in Brazil reached 639,900 million liters in March, which is 21.9% more than the previous month (524,900 million liters). The growth is caused by regulatory requirements for the blending of fuels. However, further growth is questionable given the high soybean prices.

- According to the forecast of Oil World, 569,000 tons of soybeans will be delivered in Algeria over the first 7 months of the season (October - April) compared to only 196,000 tons a year earlier. A record 176,000 tons of soybeans were delivered from Brazil in March. Throughout the period of October - April, soybean imports from Canada were 318,000 tons, 76,000 tons from the United States and 176,000 tons from Brazil. For the whole season, total soybean imports are projected at 720,000 tons. During the reporting period, soyoil imports were 300,000 tons (338,000) and soymeal supplies reached 402,000 tons (662,000).

- Algeria has announced a tender for the purchase of at least 50,000 tons of soft wheat with delivery in June.

- According to AmSpec Agri Malaysia, 1.1 million tons of palm oil were exported from Malaysia over the period of April 1 - 25, which is 8.5% more than the previous month (1.01 million tons).

- From the beginning of the new 2021/22 season (01.04.2021) until now, the state food company of India has purchased 20 million tons of wheat from the new crop from local farmers, which is 4 times more than the previous year. Purchases of 42.7 million tons of wheat (+9.4%) are planned.

- Taiwan has announced a tender for the purchase of 40,000 - 65,000 tons of feed corn from the United States, Brazil, Argentina and South Africa with delivery within 9.07 - 12.08.2021.