Grain Highlights 10.10.2024

Political tensions between Algeria and France are affecting their trade relations. In a recent wheat purchase tender, Algeria requested that no contracts be signed for wheat deliveries from France.

- Winter crop planting in Russia is below 2023 levels. According to SovEcon data, 8.3 million hectares have been planted with these crops (compared to 9.3 million in 2023), the lowest level since 2013.

- In the 2024/25 season, sunseed processing in Ukraine will reach 13-13.4 million tons, marking the lowest level in the last three seasons (-11% compared to 2023/24).

- Turkish authorities will grant permission to import 1 million tons of corn by the end of 2024 with an import duty of 5%. The current tax is 130%. Domestic production is low, and the country faces a corn shortage. Likely suppliers will be the United States or South America.

- Political tensions between Algeria and France are affecting their trade relations. In a recent wheat purchase tender, Algeria requested that no contracts be signed for wheat deliveries from France. For many years, France has been a key supplier of wheat to Algeria. Algeria has purchased 510,000-570,000 tons of soft wheat, most likely from Russia. Russian wheat is currently offered at FOB prices of 232-235 USD/ton or 262.5 USD/ton C&F, with delivery within October-November. French wheat is priced 20 USD/ton higher, and Romanian wheat is 8-10 USD/ton higher.

- According to Conab, as of 06.10.2024, 26% of the first corn crop for the 2024/25 season has been planted (compared to 27% a year earlier), and 5% of the soybean crop (compared to 10%). Wheat has been harvested on 37% of the areas (compared to 41%).

- FAS USDA reports that demand for feed wheat in the Philippines will be high. The country’s weather conditions do not allow for long-term wheat storage, and stocks are decreasing. Due to disease, the corn production has declined. The main wheat suppliers are the United States (39% share), Australia (37%), and Brazil (16%).

- Tunisia has purchased 125,000 tons of feed barley from an unspecified origin at prices of 231.6-239.96 USD/ton C&F, with delivery scheduled for 25.10-15.12.2024.

- Jordan has canceled a tender to purchase 120,000 tons of milling wheat from any origin. On 09.10.2024, another tender for 120,000 tons of feed barley was also canceled. The next tenders for both crops will be held on October 15 and 16, respectively.