In order to meet the demand for grain transportation across Europe, the logistics company Innofreight has developed a new type of container – GrainTainers. In early October, during the visit of Valdis Dombrovskis, Executive Vice President of the European Commission, the company presented loaded wagons at the Dobra terminal in Slovakia.
Up to 291 wagons were transferred daily through the Chop – Čierna nad Tisou land border crossing point as of October 12 (down 18 units compared with the previous week). In particular, 258 wagons were moving on export routes (down 20 units), while 33 wagons arrived with imported goods (up 2 wagons).
Approximately 10,000 wagons with various goods were found waiting for a transfer through Ukraine’s western land border crossing points on October 11 compared with about 11,000 wagons in late September.
About 2,950 wagons were moving to the Izov station on October 11, including 938 wagons with cakes, 893 wagons with vegetable oil, and 246 wagons with grain. Up to 1,900 wagons were on their way to the Mostyska-2 station on that date, including 976 containers and 418 wagons with metals.
U.S. soybean prices continue to decline amid ongoing harvesting and competition from Brazil. According to the USDA, soybean harvesting has progressed to 43% of the plan (41% last year and a five-year average of 37%).
Harvesting continues in Australia, putting pressure on export prices. Trade remains inactive. The quality of harvested wheat is still good, but grain yields are fluctuating from below average to average.
Large corn supplies from Brazil continue to put pressure on global prices. Anec estimates October corn exports at 9.2 million t (8.9 million t forecasted a week earlier). At the same time, the drought in northern Brazil is causing logistical problems due to the low level of the Amazon River.
U.S. corn prices remain under pressure from ongoing harvesting and competition from Brazil, but closer to mid-week, quotes got some support from the monthly USDA report. According to the USDA, by October 8, U.S. farmers harvested 34% of the planned corn crop
The Kazakh grain market is stable. In the October report, USDA analysts have significantly reduced the estimate of wheat production in Kazakhstan in MY 2023/24 – to 13 million t (from 15 million t projected in September).
In Russia, grain export quotes have been mostly decreasing. Huge export potential and insufficient demand are the main reasons for such price dynamics.