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Ukrainian corn weighed down by lowering prices in Chicago
1 February 2022, 12:36
Corn prices in Ukraine revised downward as a result of quotations going down in Chicago yesterday, January 31, Barva Invest analysts inform. They say that the corn quotations in yesterday's trading showed a decline, amid a slowdown in US exports and a weakening of the wheat market. The March futures for US corn decreased by USD 0.10 per bushel, while the Black Sea corn lost USD 2.75 a ton.
"The US weekly export rate is lower, at 1.04 mln t, compared to 1.12 mln t in 2021. The harvest progress of the first crop corn in Brazil was 17% of the forecast, and the second crop planting was 15% complete", said the analysts.
According to experts, Ukrainian wheat prices are still under pressure from declining market quotations and potential risks in the Black Sea region.
Learn more: TOP 14 Wheat Exporters From Ukraine in 10M 2021
Wheat quotations kept dropping after the subsiding intensity of the media coverage of tensions with Russia. The renewed negotiations on the diplomatic level spirited the market.
"The March futures in Chicago fell by USD 0.25 per bushel, the price of European wheat fell by EUR 12.75 a ton and the price of Black Sea wheat fell by USD 7 a ton. Wheat exports from the United States amounted to 360,000 t during the week, compared to the previous year's level of 410,000 t," comment the analysts.
Corn export from Ukraine since the start of 2021/22 has come to 14,34 mln t, wheat shipment has increased to 16.7 mln t.
As a reminder, wheat export from Ukraine in 2021/22 was limited to 25.3 mln t. The Memorandum of Understanding was signed by the Agrarian Ministry and grain market participants. The Government also considers milling wheat export from the country. The decision was reported to be taken in January, but none has been resolved yet.
