Grain Highlights 12.09.2022

12 Sep, 2022
Grain Highlights 12.09.2022
India has banned the export of certain varieties of rice and imposed an export tax of 20% on others. The country has a share of 40% of the world's rice exports. An increase in the prices of rice and wheat is expected.

- Over the week of September 5-11, 452,300 tons of wheat and 8,800 tons of barley were exported from the Russian port of Novorossiysk. A week earlier, 128,900 tons of wheat were exported. 118,000 tons of wheat were sent to Egypt. 66,000 tons were sent to Iran and 53,900 tons were sent to Djibouti.

- In 2022, the moisture content of SRW wheat in the United States is 12.6% (13.6% in 2021 and 13.3% average for the last five years), and the protein content is 9.6% (9.3% and 9.5%). In HRW wheat, moisture is 10.4% (11.2% and 11.1%), and protein is at 12.7% (11.9% and 11.8%).

- On Friday, Chicago commodity funds were net buyers of 8,000 contracts of corn, 8,000 contracts of soybeans and 13,000 contracts of wheat.

- Conab raised its forecast for the 2021/22 soybean production in Brazil by 1.5 million tons to 125.6 million tons (139.4 in 2020/21). Exports will reach 77.2 million tons (+2 and 86.1), domestic consumption is estimated at 51.5 million tons (+2), and ending soybean stocks are projected at 6.2 million tons (-2.7). Corn production will be 113.3 million tons (-1.4 and 87.1), domestic corn consumption will reach 76.5 million tons (-0.6 and +4.2), soybean exports are expected at 37 million tons (-0.5 and 6.2) and ending soybean stocks will reach 9.5 million tons (- 0.3 and +1.7).

- According to Anec's forecast, 3.92 million tons of soybeans will be exported from Brazil before September (-1.15 compared to August and -0.79 compared to September 2021). The export of soymeal will be 2.05 million tons (1.69 and 1.46) and corn exports are projected at 6.31 million tons (6.90 and 2.55).

- In July, 2.59 million tons of wheat were exported from Australia (2.71 in June) and 7 million tons in the period of May - July. During this period, 1,746 million tons of wheat were exported to China, 965,000 tons to Indonesia, 746,000 tons to Vietnam, 627,000 tons to the Philippines and 333,000 tons to South Korea.

- At the end of August, palm oil stocks in Malaysia rose to 2.09 million tons, up 18.16% from July to the highest level since November 2019. Production for the month was 1.73 million tons (+9.67%), which is an increase for the third month in a row. Exports reached 1.3 million tons (-1.94%). It is expected that in September and October the export will be over 1.3 million tons given the low prices. Indonesia will certainly be very competitive due to its large stocks and changes in its customs policy.