Prices for Ukrainian corn hit 4-year high in September — Refinitiv

Prices for Ukrainian corn of 2020 harvest rose to the highest level for the beginning of September over the past 4 seasons amid active export demand and growing futures quotations, Refinitiv Agriculture writes.

"Despite a slight downward correction on the exchange, prices for Ukrainian corn remain rather high," Refinitiv monitoring shows.

As reported, sizable purchases of U.S. corn by China have led to an increase in futures quotations on the Chicago Stock Exchange, supported by adverse weather conditions in the US corn belt.

"These factors, combined with the persisting dry weather in Ukraine and the decline in harvest estimates in 2020, support prices for Ukrainian corn," the analysts explained.

Prices for Ukrainian corn of new crop for October-December loading period continued rising and reached 180-185 USD/t FOB. However, major importers, in particular China, have suspended purchases of Ukrainian corn.

Ukrainian market operators report active corn supply from producers for CPT-based price increase to 172-174 USD/t in recent weeks.

The Ministry for the Development of Economy, Trade and Agriculture of Ukraine and grain market participants signed the Annex to the Memorandum of Understanding on Aug. 17, setting the limit for wheat export from Ukraine in the 2020/21 season at 17.5 mln t, rye 1 thou. t.

As of Sep. 2, corn shipment from Ukraine totalled 603 thou. t, 1.25 mln t or 67% lower YoY.