Grain Highlights 12.01.2022

CASDE analysts lowered their forecast for the corn consumption in China in 2021/22 by 3 million tons to 287.7 million tons.

- Yesterday, commodity funds in Chicago were net buyers of 1,000 contracts of corn, 1,000 contracts of soybeans and 5,000 contracts of wheat.

- In their January forecast, Conab analysts lowered their forecast for the soybean production in Brazil in 2021/22 by 2.3 million tons to 140.5 million tons. The corn production estimate was reduced by 4.28 million tons to 112.9 million tons.

- In China, a huge ship was launched to transport 85,600 tons of grain. The ship was handed over to a US company and will be used to transport grain on American routes. An order for the construction of 8 more similar ships was accepted.

- CASDE analysts lowered their forecast for the corn consumption in China in 2021/22 by 3 million tons to 287.7 million tons. The estimate for feed consumption was lowered by 1 million tons to 186 million tons and the estimate for feed consumption for industrial purposes was decreased by 2 million tons to 80 million tons due to lower margins of processors. In 2020/21, corn consumption in the country was 282.2 million tons (180 and 80).

- On January 11, 2022, the level of the Parana River in Argentina reached its lowest level since the end of 2019. This limits the loading of ships by about 30% below the optimum level.

- Algeria has announced a tender for the purchase of at least 50,000 tons of wheat for delivery within February-March.

- Iran has announced a tender for the purchase of at least 60,000 tons of milling wheat of any origin and delivery over February - March. At the previous tender, 60,000 tons of wheat were purchased from Germany and the Black Sea region. In December, Iran bought 740,000 tons of wheat.

- According to Oil World, 1.73 million tons of palm oil were exported from Indonesia in November (2.58 in October and 2.69 in November 2020). In the first 11 months of the year, exports reached a total of 25.35 million tons (24.34).