Grain Highlights 12.03.2022

According to ICAR forecasts, 1.5 million tons of grain will be exported from Russia in March.

- Over the week of March 16-22, the export tax on Russian wheat will be 86.3 USD/ton (86.9 a week earlier). The export tax on barley will be 77.4 USD/ton (72.3) and 54.1 USD/ton on corn (53.9).

- There is still some demand for corn for export from Ukraine. Corn is exported from the western parts of the country to Poland at prices within 250 - 255 USD/ton and to Hungary at prices within 300 - 310 USD/ton. It is delivered by rail.

- According to FranceAgriMer, as of March 7, 2022, 92% of winter wheat crops are in good and excellent condition in France (93% a week earlier and 88% a year earlier). 88% of the durum wheat crops (89% and 89%) and 89% of the winter barley crops (90% and 85%) are in good and excellent condition. The sowing of spring barley was carried out on 76% of the planned areas (+40% for the week and 84% a year earlier).

- The export of sunseed oil is banned from Northern Macedonia until 31.05.2022.

- Yesterday, commodity funds in Chicago were net buyers of 20,000 contracts of corn and 11,000 contracts of soybeans and net sellers of 20,000 contracts of wheat.

- According to Deral, in the Brazilian state of Paraná, 54% of the soybean areas have been harvested (36% a year earlier). The soybean production is expected to reach 11.6 million tons (-41%). The first corn crop has been harvested on 64% of the areas. 69% (43%) of the planned areas have been sown with the second crop corn, and 90% of the crops were assessed to be in good condition. The optimal deadline for sowing is 10.03.2022 and later sown crops may freeze before full ripening.

- According to Conab's forecast, the production of cereals and oilseeds in Brazil will reach 265.7 million tons this season (268.2 months earlier), which is +10 million tons more than 2020/21. The soybean production is projected at 122.8 million tons (-2.5 and 138.2). Domestic consumption of soybeans will reach 46.4 million tons (-2.3 and 51.8), soybean exports will reach 80.2 million tons (-6.1 compared to the previous season). Ending soybean stocks are expected at 2.4 million tons (-2.9). The corn production will be 112.3 million tons (+29% compared to last year), including first corn production of 24.3 million tons and second corn production of 86.2 million tons. Domestic consumption of corn is estimated at 76.5 million tons (71.9) and ending corn stocks are predicted at 10.3 million tons (7.8).

- The Rosario Grain Exchange forecasts a soybean production in Argentina in 2021/22 of 40 million tons (40.5 in the previous estimate). The corn production is estimated at 47.7 million tons (48). The Buenos Aires Grain Exchange expects a soybean production of 42 million tons. The harvesting campaign of soybeans in Argentina will begin by the end of March.

- According to the forecast of the Buenos Aires Grain Exchange, the sunseed production in Argentina will reach 3.3 million tons in 2021/22 (3.5 in 2020/21).

- Morocco's wheat stocks are sufficient enough to meet domestic demand for 5 months. Of the 0.6 million tons of wheat purchased, 0.55 million tons were delivered from Ukraine.

- Tunisia bought 125,000 tons of wheat at prices of 491.68 - 508.89 USD/ton of C&F and 100,000 tons of barley at prices of 484.68 - 494.97 USD/ton of C&F. Deliveries will be made over the period of March - May.