Price of Ukrainian corn growing despite large stocks – APK-Inform




According to APK-Inform, last week, the indicative FOB offer prices of Ukrainian corn and purchasing prices of traders increased slightly.

“The demand from EU importers were stable that supported the prices, despite large carry-over stocks in Ukraine. Limited sales by farmers as well as slow harvesting pace and possible damage to corn quality added support”, – head of local markets department Anna Tanskaya said.

She added that the planted area under next crop might decrease that pushed the prices up as well. However, sizable slowdown of export by the “grain corridor” limited the upward price trend.

“For January 16-20, 14 vessels left the ports of Great Odesa carrying 0.68 mln tonnes of agricultural products. For 9-13 January, there were 14 ships with 0.4 mln tonnes. For 1-20 January, 52 vessels left ports with 1.97 mln tonnes compared to 66 vessels and 2.17 mln tonnes for 20 days of December. In general, in the first half of January, the number of ship departures from ports decreased to 2.6 per day, which is one of the lowest indicators since the beginning of the functioning of the "grain corridor". Some concern among market operators was caused by the intention to expand the "grain agreement" to include steel supplies to support the country's economy, which with the current pace of JCC inspections may lead to an even greater reduction in the pace of agricultural exports", – A. Tanskaya said.

The indicative offer prices of corn for delivery in February increased from 250-275 to 255-275 USD/t FOB Black Sea ports.

The purchasing prices of traders in the ports of Great Odesa and the Danube totaled 195-220 USD/t CPT-port compared to 180-220 USD/t week ago.

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