Grain Highlights 21.10.2021

Strategie Grains significantly adjusted its forecast for the EU corn production in 2021/22 by 2.6 million tons to 67.5 million tons.

- The Ministry of Agriculture of Russia will consider the possibility of raising the export tax on wheat and sunseed oil given the strong growth of international prices.

- As of October 21, 2021, 43.6 million hectares of cereals were harvested in Russia and 116.6 million tons of grain were harvested. 27.6 million hectares of wheat were harvested and 77.5 million tons of wheat were harvested. 1.6 million hectares were harvested with corn and 8.3 million tons of corn were harvested. 8 million hectares have been harvested with sunseed and 13 million tons of sunseed have been harvested. The sowing of winter crops was carried out on 16.8 million hectares.

- Strategie Grains significantly adjusted its forecast for the EU corn production in 2021/22 by 2.6 million tons to 67.5 million tons. Imports of corn are expected to reach 13.9 million tons (14.4 in the previous forecast). The areas with winter wheat from the 2022/23 production in the EU will be 21.8 million hectares. Barley areas are estimated at 10.6 million hectares (+2%) and corn areas are expected at 9.1 million hectares (-2%).

- Yesterday, commodity funds in Chicago were net buyers of 9,500 contracts of corn, 11,000 contracts of soybeans and 9,000 contracts of wheat.

- Mexico will not restrict imports of GM corn from the United States. In 2020, the Mexican government introduced a three-year ban on the consumption of GM corn in the food industry. Mexico is the second largest importer of corn from the United States after China.

- Analysts from Rabobank forecast a winter crops production in Australia in 2020/21 of 52.9 million tons, which is 5% less than 2019/20 and 25% more than the average level for the last five years. The wheat production will be 31.9 million tons (-4% and +35%), barley production is projected at 11.7 million tons (-10% and +7%). The canola production is expected to reach 5.2 million tons (+14% and +48%). In 2021/22, wheat exports will be 24.5 million tons, barley exports are esimated at 7.8 million tons and canola exports are projected to reach 4.3 million tons.

- As of October 19, 2021, 26% of the areas planned for winter wheat in China have been sown (27% average annual level). Rainfall in recent weeks has slowed the sowing campaign.

- Turkey bought 300,000 tons of wheat (11.5 - 12.5% protein) ​​and prices within 338.68 - 359.95 USD/ton C&F and delivery in December.

- Tunisia is looking to buy 50,000 tons of soft wheat and 50,000 tons of barley with delivery within November - December.

- According to an estimate by Intertek Testing Services, 956,900 tons of palm oil were exported from Malaysia over the period of October 1-20  (1.12 million tons from September 1-20). The main buyers were the EU with 245,000 tons (237,400), China with 136,700 tons (188,600) and India with 231,500 tons (272,400).

- Egypt's state-owned company GASC has purchased only 25,000 tons of soyoil compared to the planned 30,000 tons of soyoil and 10,000 tons of sunseed oil.