Commodity markets

            The U.S. soybean market has been under pressure from forecasts of favorable weather in Brazil. Relevant export quotes have dropped significantly.

            Brazilian corn prices have inched up despite the start of harvesting of the first crop in MY 2023-24. According to Conab, as of December 30, farmers processed 0.9% of the planned areas (0.2% as of the same date last year).

            U.S. wheat export quotes have dropped, so demand has increased.

            The Australian grain export market looks dull after the holiday break. In the December report, the Grain Industry Association of Western Australia Inc (GIWA) lowered the forecast of winter grain production in Western Australia to 14.28 million t (vs. the November estimate of 14.51 million t).

            Prices for Russian grains are stable, the market is quiet. The country’s government has approved the quota volume for exports of major grains (wheat, meslin, barley and corn) in the current season at the level of 24 million t (against 25.5 million t in the previous season).

            Export quotes for EU grains have declined amid low demand during the New Year holidays. The tender from Egypt’s GASC has been canceled, most likely due to high bid prices.

            The Ukrainian grain export market has been volatile over the holiday period. Corn remains the most liquid crop, although the volume of farmers’ offers has decreased.