Corn and Soybean: world market trends

TESEO offers a monthly report on the key markets of Corn and Soybean, the two feed ingredients that have the greatest impact on the cost of animal feed. Keep yourself informed on a monthly basis with the summary or with the full PDF report containing the projections on production, consumption, trade and stock levels processed by the US Department of Agriculture (USDA-FAS) and combined with international prices (CME Group in Chicago), plus a focus on Italy. The elaborations by the TESEO team simplify data reading and allow immediate analysis.

Agricultural Market: Corn, Soy, Wheat and Sunflower Seeds [July 2021 VIDEO]

Posted on 29/07/2021

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The videonews “Agricultural Market” offers a selection of recent information on agricultural commodities used for livestock feeding.

Temperature anomaliesSevere climatic events are affecting different parts of the world.
California, Canada and Brazil are experiencing extreme drought.
The heat wave also hit the Scandinavian countries.
On the contrary, heavy rains hit Western Europe hard, especially Germany.
A few days ago, floods also occurred in China.
The effects of these climatic phenomena have not yet been estimated, but they could affect agricultural production around the world.

CORN

maisFor the new season, which will start on September 1, production is expected to increase for the main countries compared to the previous season, after the difficulties encountered in the 2020-21 season, including the current drought in Brazil.

Chinese imports are expected to be stable, despite the policy of reducing the use of corn in animal feed, aimed at supporting the use of alternative raw materials.

Trade Update – European corn imports in the first 5 months of 2021 were lower than last year, reflecting a sharp decline from Ukraine. Italy’s imports recorded a decline in April.

corn

SOY

soia_500Global soybean trade has slowed in recent weeks. With Chinese demand as the driving factor, the weakening export pace can be attributed to a softening of Chinese purchases. Soybean stocks in China, already at high levels, continue to grow as earlier imports exceeded the monthly crush pace.

Soybean availability in the United States is expected to increase, but exports could suffer from competition with South America, where larger availability is expected for the October-December period.

Trade Update – EU-27 Soybean imports in May 2021 decreased significantly, especially from Brazil and Canada. Italy follows an opposite trend, in fact it imported significant volumes from Brazil, but Canada and the United States do not appear among the main suppliers in May.

soy

WHEAT

frumentoHigh yields in the EU-27 have led to an increase in supply. After the low temperatures and droughts in April and May, the wheat harvest benefited from a more favorable climate.

All North African countries have implemented domestic support policies that encourage domestic wheat production and seek to lower dependency on international suppliers. This could affect the export of the EU, the main supplier, which competes with Russia, Ukraine and Canada on this market.

Australia is a new competitor in the Asian markets for Canada and the United States. The production and exports of the two North American countries are expected to decline, also as a result of the changed use of agricultural areas for other crops. The lower availability could support the high export prices.

Trade update – EU-27 total Wheat exports in the first 5 months of 2021 were lower than last year, however Durum Wheat exports to Tunisia recovered in May 2021. In the first four months of 2021, Italy exported 66,555 tons of durum wheat to Tunisia and Algeria.

wheat-EU

SUNFLOWER SEEDS

sunflowerseedSunflower Seed production in Russia is estimated at record highs for the new season, with crop areas and yields on the rise.

In Italy, the cost of proteins obtained from whole grain Sunflower extraction meal is, from April 2021, higher than that of proteins obtained from Soybean extraction meal.

Trade Update – After a few months of decline, European Sunflower seed imports recovered in May 2021, with significant increases from Argentina and Russia.

import-sunflower

Market Snapshot

This infographic shows some key variables to analyze the situation of the Italian and international market at a glance.

The colors represent the variation: red for a decrease, green for an increase, blue for stable values, gray with an orange background for unquoted values.

Market Snapshot

Fonte: CLAL processing on IHS, Eurostat, ISTAT,
CCIAA Bologna, CCIAA Foggia, FranceAgriMer, agridata.ec.europa.eu, USDA-AMS, Mercado Rosario, Cepea

Corn and Soybean: prices and market updates | June 2021

Posted on 15/06/2021

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CORN

USDA released the June update on the Corn and Soybean markets.

Agricultural Year 2021/2022

The Beginning Stocks of Corn for the 2021/22 season are estimated to decrease compared to the May forecast, affected by the revisions on the current year. The projections on Global Production, Trade and Demand for Corn are substantially unchanged compared to the estimates of May, consequently the Ending Stocks are revised downwards.

corn-stocks-beginning

Agricultural Year 2020/2021

Corn Production for the season September 2020 – August 2021 has been revised downwards. Brazil, during the month of May, recordedlower than normal rainfall in the Central-West and South regions, negatively affecting the yields of the second Corn harvest.

As for the United States, for the current year, the data on Corn exports and on Corn used for the production of ethanol have been revised upwards, reducing stocks.
Ethanol prices have risen significantly in recent months, supported by a demand that is almost back to levels seen prior to COVID-19.

Market Prices

Average Corn prices in early June remain high, but at a lower level than the peaks reached in May. The average selling prices of Corn from 1 to 11 June in the USA (North West Iowa) stood at $ 276.2/Ton, +0.8% compared to May.

In Italy, the prices of National Corn quoted on 10 June in Bologna are up by + 1.5% compared to the previous quotation, ranging between 270 €/Ton and 276 €/Ton. However, the average prices in June are slightly down compared to May.

image (3)

SOY

Agricultural Year 2021/2022

Unlike Corn, the forecasts on the Beginning Soybean Stocks for the 2021/22 season are revised up by 1.5 Mio Tons, affected by the revisions on the September 2020 – August 2021 season. Projections on Global Soybean Production, Trade and Demand are substantially stable compared to the forecast of May. Consequently, the Ending Stocks are revised upwards.

soy-stocks-beginning

Agricultural Year 2020/2021

Soybean production for the current year (Sep 2020 – Aug 2021) has been revised upwards, driven by a higher Soybean harvest in Brazil.

Market Prices

The average selling prices of Soybeans recorded from 1 to 14 June in the USA (Western Illinois) stood at $ 605.8/Ton, down by -1.4% compared to the May average. Different situation in Brazil, where the average Soybean prices recorded in the same period in Paranà are up by + 1.7% in dollars compared to the month of May, reaching $ 548.5/Ton.

In Italy, the average price of Soybeans listed on 10 June in Bologna is 638 €/Ton, down by -2.0% compared to the previous price.

Bazil - Soybeans: monthly average price trend

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Corn and Soybean: prices and market updates | May 2021 [VIDEO]

Posted on 21/05/2021

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First USDA Forecast for the 2021-2022 season for the Corn and Soybean markets: global production is estimated to increase, positively affecting the ending stocks, while prices in the main markets remain high.

Michele from the CLAL.it and TESEO Team illustrates the forecast and the market trends in the following video.

2021-05-21

CORN 

Global Corn Production for the 2021/22 season is estimated at 1,190 million tons, up 5.4% compared to the previous year. Increases are expected in all main producing countries, with record harvests for Brazil, China and Ukraine.

The Global Demand for Corn for the 2021/22 season is also estimated to increase, driven mainly by the strong demand for animal feed.

Corn exports for the next season are estimated to grow by +5.7%, driven by Brazil (+ 22.9%), Argentina (+ 5.9%) and Ukraine (+ 32.6%). United States exports are expected to decrease by -11.7% due to the greater competitiveness of Ukraine and Russia.

corn-export

The Global Ending Stocks of Corn, resulting from the balance between production, demand and export, are estimated to increase by + 3.1%, with important variations in the United States (+ 19.9%) and in Brazil (+ 70.7%) .

In the main global markets, the average selling prices of Corn from 1 to 12 May recorded further increases, with significant variations for the USA (+ 21.4%), Argentina (+ 12.1% in dollars) and France (+ 10.8%) compared to the April prices.

In Italy, Corn prices are increasing. Current prices in Bologna for Italian corn range between 277€/Ton and 283€/Ton.

corn-prices

SOY

Global Soybean Production for the 2021/22 season is estimated at 386 Mio Ton, up by  6.2% compared to the previous year, driven by production increases in Brazil, the United States and Argentina.

Imports are estimated to increase by + 2.9%, supported by Chinese demand, which is expected to grow to 103 million tons for the year 2021/22. Exports show signs of stability, with an increase estimated for Brazil (+ 8.1%) offset by a decline expected for the United States (-9.0%).

soybean-export

With demand growing at a slower pace than production, the Global Ending Stocks of Soybeans are revised positively, + 5.3% compared to the 2020/21 season.

The rally of Soybeans prices continues in the first days of May. The average selling prices of Soybeans from 1 to 12 May in the USA (Western Illinois) stood at $ 627 / Ton, + 9.8% compared to the previous month.
Similar trend for Brazil, where the average Soybean prices from 1 to 12 May recorded a variation of + 7.2% in dollars compared to April, and for Italy, with the average price of Soybeans listed in Bologna which has exceeded 700 € / Ton.

soybean-prices

For more details on the dairy, agricultural and swine markets, follow us on our websites CLAL.it and TESEO.clal.it.

Corn and Soybean: prices and market updates | April 2021

Posted on 19/04/2021

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CORN

USDA released the April update on the Corn and Soybean markets.

World Corn production for the year 2020/21 is estimated at 1,137 Mio Ton, slightly increasing compared to the previous forecast, with positive changes in the European Union (including the United Kingdom), Pakistan and Ecuador. Production in Argentina was revised downward, due to the drought conditions caused by the climatic phenomenon La Niña.

Following an expected increase in Corn consumption, global ending stocks were revised downwards, with an expected change of -6.3% compared to the previous year.

World Corn Production, Utilization and Stocks

World Corn Production, Utilization and Stocks

The average selling prices from April 1st to 15th recorded in West Iowa (USA) stood at $218/Ton, +5.4% compared to the previous month.
The average price of Corn recorded during the same period in Bordeaux (France) was €210.2/Ton, slightly decreasing compared to the average of March 2021.

Current prices in Bologna for Italian corn range between €233/Ton and €239/Ton.

SOY

World Soybean production for the current season is expected to increase by 1.4 Million Tons compared to the previous forecast. In Brazil, production is revised upwards (+ 1.5% compared to the previous forecast), as it could be supported by higher production yields.

Global ending Soybean stocks for the 2020/21 season have been positively revised compared to the previous forecast, while remaining at levels well below the 2019/20 season (-9.9%).

 

Map of Soybean Yields

Map of Soybean Yields

The average selling prices of Soybeans from April 1st to 15th in the USA were $547.7/Ton, an increase of + 0.1% compared to the previous month.

Soybean prices in Italy continue to rise. The latest quotation in Bologna records an average price of €693/Ton, with a variation of + 6.1% compared to the previous quotation.

For more details on the dairy, agricultural and swine markets, follow us on our websites CLAL.it and TESEO.clal.it.

Corn and Soybean: prices and market updates | March 2021

Posted on 18/03/2021

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USDA Forecast of March shows signs of stability in the Corn and Soybean markets. World production estimates have been revised slightly upwards, positively influencing the final stocks, which, however, remain at significantly lower levels than the previous year.

CORN

USDA released the March update on the Corn and Soybean markets.

World Corn production for the season 2020/21 is estimated to increase slightly from the previous forecast, due to positive changes in India, South Africa and Bangladesh. The estimates for the main producers, USA, China and Brazil, remain unchanged.

The estimate of global ending stocks confirms a decrease of -5.1% compared to the previous year.

The average selling prices from March 1st to 11th recorded in West Iowa (USA) stood at $ 205/ton, down by -0.9% compared to the previous month. In Brazil, on the other hand, the average price of Corn from March 1st to 11th was slightly higher than in February, with an average price of $260.6 / ton.

In Italy, Corn prices are substantially stable. Current prices in Bologna for Italian corn range between 229€/Ton and 235€/Ton.

corn-prod-stocks

SOY

The global ending stocks of Soybeans are revised slightly upwards, although they remain at significantly lower levels than the previous year (-12.8%). The March forecast estimates an increase in final stocks for China and Brazil, almost entirely offset by the decrease expected for Argentina.

The production estimates for the current year are revised upwards in Brazil for 1 million tons, and downwards in Argentina for 0.5 million tons. In Argentina, in fact, the harvest could be affected by the drought conditions recorded in recent weeks.

soybean-production

Average US Soybean selling prices from March 1st to 11th increased by +2.7% compared to the previous month, settling at $548.8/ Ton. Increases in local currency soybean prices also occurred in Argentina and Brazil, mainly due to inflation.

The average price of Soybeans quoted on 11 March in Bologna increased significantly to € 546/Ton, + 4.4% compared to the previous price.

For more details on the dairy, agricultural and swine markets, follow us on our websites CLAL.it and TESEO.clal.it

soybean-prices-arg

Corn and Soybean: prices and market updates | February 2021 [VIDEO]

Posted on 17/02/2021

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Corn and Soybean prices remain high in the major markets. Chinese imports of Corn could triple this year, while for the United States a reduction in Soybean stocks is estimated, of -77.2%.

Michele from the CLAL.it and TESEO Team illustrates the forecast and the market trends in the following video.

immagine-play

CORN

USDA released the February update on the Corn and Soybean markets.

Slightly more optimistic is the forecast of February 10 regarding World Corn Production 2020/21, if compared with the previous forecast. Production is now estimated to rise by 17.5 million tonnes compared to the 2019/20 season.

On the other hand, the Consumption forecast shows a slight reduction, going from + 1.7% to + 1.5%.
As a result, the erosion of the World Corn Stocks expected for the 2020/21 season is more contained (-5.4% compared to the previous year).

corn-stocks

Chinese imports of Corn could triple this year, to the advantage of the United States, whose exports to China are on the rise.
The import of the European Union (including the UK) is estimated at 15.5 million tons, 3.1 million tons less than in the 2019/20 season.

Average selling prices from February 1st to 10th recorded in West Iowa (USA) remain at high levels, standing at $ 206.5 /Ton, up + 7.1% compared to the previous month.
Also in France, the average price of Corn from February 1st to 12th is slightly higher than in January, with an average price of 209.7 € / Ton.
Current prices in Bologna for Italian corn range between 230€/Ton and 236€/Ton.

bologna-corn-price

SOY

The latest USDA Forecast estimates an increase in Soybean Consumption compared to the previous outlook. This leads to a further decrease in final stocks for the current year: -11.49 million tons compared to the 2019/20 season.

The decline in stocks is mainly attributable to the United States, for which is estimated a reduction in inventories of -77.2%  compared to the previous season.

Average Soybean prices in the US and Brazil show signs of stability.
The average selling price from February 1st to 10th in Western Illinois (USA) is $ 529.7 / Ton. The average price over the same period in Brazil stood at $ 508.4/Ton.
The average price of Soybeans quoted on February 11 in Bologna is steady at € 500/Ton.

us-soybean-price

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Corn and Soybean: prices and market updates | January 2021

Posted on 03/02/2021

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2021 began with an increase in Corn and Soybean prices in the main global markets.
Michele of the CLAL.it and TESEO Team describes the causes in the following video.

The average prices of Corn and Soybean in January have increased significantly in the main global markets. Specifically, in the United States the price has increased by +16% for Corn and by +14.4% for Soybeans, compared to December 2020.

The increase in overseas prices of these two agricultural products is also affecting the main European and Italian markets. The average prices quoted on January 21 in Bologna are: 225 €/Ton for national Corn for zootechnical use and 498 €/Ton for national Soybeans.

These bullish trends increase the costs related to livestock feeding for farmers.

Simulated Feed Ration

What are the main reasons for these increases?

The supply of Corn and Soybean seems not able to meet the global demand.

In January, USDA revised downward the stocks of Corn and Soybean, respectively -1.8% and -1.5% compared to previous forecasts. At the end of the 2020/21 season, the stocks of these two agricultural products are estimated to decrease by -6.3% for Corn and -11.6% for Soybean.

The global production of Corn and Soybean was also revised downward compared to the December forecast, by approximately 10 million tons of Corn and 1 million tons of Soybeans.

The main causes of this revision are the drought in South America and the lower US harvests.

For more details on the dairy, agricultural and swine markets, follow us on our websites CLAL.it and TESEO.clal.it.

stock-corn-soy

Soybean: prices and market updates | November 2020 [VIDEO]

Posted on 04/12/2020

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World Soybean Production is expected to grow for the new season, driven by the United States and Brazil, while China is confirmed as the main destination for the export of Soybean.
Soy prices increased in November in the main global markets.

Michele from the CLAL Team illustrates the Soybean market trend in the following video.

Soybean Global Production for the season September 2020 – August 2021 is estimated to decrease slightly compared to the previous forecast, but it is still increasing by +7.7% compared to the 2019-20 season (USDA Forecast).

Production is expected to grow for the two main global players, Brazil (+5.6%) and the United States (+17.4%). Production estimates are positive also for Argentina and the European Union.

soybean-production

Global Export of Soybean for the 2020-21 season is estimated to increase slightly, +1.9% compared to the previous season, driven by the positive trend of US exports (+31.2%).

Exports from Brazil and Argentina are expected to decrease. The October data show a reduction in exports, respectively -50.9% and -91% compared to October 2019.

The main destination for the Soybean export remains China, which accounts for about the ⅔ of the total import. For the 2020-21 season, China is expected to increase its Import by 1.5%, reaching 100 Mio Tons. In October, China imported about 8.7 Mio Tons of Soybean, +2.5 Mio Tons compared to October 2019.

soybean-import

The European Union for the period January – September 2020 imported more than 12 Mio Tons of Soybean, recording an increase of +7.7% compared to the same period of 2019. However, for the 2020-21 season, the European Import is expected to decrease by -1.3%.

Soybean prices continue to rise in the main global markets.
The average November price in Argentina is $341 per Ton, +7% compared to the previous month and +36.4% compared to November 2019. The trend is positive also for the United States, with the USDA estimating an average seasonal price increase by over 20% for the 2020/21 season.

In Italy, the price of National Soybean has increased significantly. The average price of November in Bologna is 416€ per Ton, +7.3% compared to the previous month and +22% compared to November 2019.

Register to our websites CLAL.it and TESEO.clal.it to be always up to date with the latest information about the dairy, the agricultural and the pork market.

Thank you for following us, from Michele Badolato and the CLAL Team. 

soybean-prices

Corn: prices and market updates | November 2020 [VIDEO]

Posted on 18/11/2020

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World Corn Production and Export are expected to grow for the new season, driven by the United States and Brazil.
Corn prices increased in the USA, Argentina and some EU countries, including Italy.

Michele from the CLAL Team illustrates the Corn market trend in the following video.

copertina_EN_play

World Corn Production for the season September 2020 – August 2021 is projected at 1,144.6 Mio Tons, according to USDA. The forecast, updated in November, is slightly lower than the previous estimate, but it still shows a year-over-year rise by +2.5%.

The increase in production is driven by the United States (+6.5%) and Brazil (+7.8%). Production in the European Union, Argentina and Ukraine is expected to decrease due to drought conditions.

corn-us-outlook

The forecast of Corn Export for the 2020-21 season is positive, with an expected variation of +8.0% compared to the 2019-20 agricultural year. Also this increase is driven by the United States (+49.0%) and Brazil (+14.7%).

The European Union, in the period January – September 2020, exported 3.142.400 mio tons of corn, +15.4% compared to the first 9 months of 2019. However, for the 2020-2021 season, a significant reduction is expected. Exports from Argentina and Russia are also estimated to decrease.

corn-export

Corn prices continue to rise in the USA. The average November price in West Iowa is $156.8 per Ton, +5.1% compared to the previous month.  Also in Argentina the price rose significantly, starting from June, and the average monthly price of the Mercado Rosario is $190 per ton.

This trend is also reflected in the prices in The Netherlands, Portugal, Spain and Italy.  The current prices in Bologna for Italian corn range between 194€/Ton and 200€/Ton.

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Corn prices Argentina

China: Soy consumption at record levels in 2020/21 season

Posted on 21/05/2020

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Global Production

Soybean Global production for the season 2019/20 is projected at 336.11 Mio Tons (-6.7% on 2018/19), slightly decreasing compared to the previous estimates.

Brazil Soybean production is estimated at 124 Mio Tons for the season 2019/20 (+4.2% on 2018/19).

The increase in production is driven by the increase in the harvested area, +3% compared the last season, and a higher yield per hectare (+3%). The only exception is the Rio Grande do Sul State, where a decrease in production is expected due to drought.

Soybean production for the United States and Argentina is expected to decrease compared both to the previous season, respectively to 96.78 Mio Tons (-19.7%), and 51 Mio Tons (-7.8%), and to April estimates. In Argentina, unfavourable weather conditions have reduced yields by -10%.

TESEO.it - Soybean Top Producers

TESEO.it – Soybean Top Producers

Global soybean production in 2020/21 is forecast to surge to 362.8 million tons, up 8 percent from the 2019/20 estimate. For United States and Brazil, the main producing Countries, it is expected an increase in harvested area and yields. Production is estimated at 131 Mio Tons for Brazil, and at 121 Mio Tons for the US.

TESEO.it - Map of Soybean Yields

TESEO.it – Map of Soybean Yields

Consumption, Export and Prices

Soybean consumption for the 2019/20 season is stable at 348 Mio Tons, while for the 2020/21 it is expected at a record level.

The world export of Soybean 2019/20 is expected to increase (+3.8% on 2018-19), reaching the level of 153.98 Mio Tons.

Brazil’s exports are estimated at 84 Mio Tons, (+12.6% on 2018-19), reflecting the increased trade during March and April, supported by a greater competitiveness in the markets due to the weaker currency.

On the contrary, US exports, which are suffering from the competition with Brazil, are estimated at 45.59 Mio Tons, (-4.2% on 2018/19).

Brazil’s average export prices for March 2020 are down to $345 per ton, while the US prices are slightly higher at $366 per ton.

TESEO.it - Average Soybean Export Prices

TESEO.it – Average Soybean Export Prices

In 2020/21, China is expected to account for over half of global consumption growth, mainly due to the expansion of the Chinese swine herd, which is recovering from African swine fever.

Corn: the demand for Ethanol falls down

Posted on 21/04/2020

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Global Corn Production

Corn production for the season 2019-20 is estimated at 1113.02 Mio Tons, adjusted higher compared to the last outlook. The overall production is expected to decrease by 0.9% compared to the previous season.

Global Corn production is forecasted up with larger crops in the European Union and Belarus more than offsetting reductions for Indonesia and Laos.

The US Corn production forecast is unchanged compared to the last estimates (-4.5% compared 2018/2019 season). Some operators believe that Coronavirus should not  delay farmers from planting. The USDA has estimated Corn acreage in the US for 2020-21 (September-August) at 96.99 million acres, 4% higher on year, and the highest after 2012-13. The U.S. season-average farm price decreased to $3.60 per bushel, down $0,20 compared to last season.

Corn production forecast is expected unchanged for China, Brazil and Argentina compared to the previous outlook.

Following the above-average rains in March, CONAB estimates good harvests in Mato Grosso area in Brazil, which represents approximately 46 percent of Brazil’s second-season crop. In the areas located south of Mato Grosso, March rains were below-average.

CLAL.it - Map Corn Yields

CLAL.it – Map Corn Yields

Global Corn Export: slight increase compared to the last outlook

Corn export for the season 2019-20 is projected slightly higher compared to last estimates, but it is still lower compared to the 2018-19 season.

April’s export forecast shows an increase for UE and Argentina, while a decrease for Russia.

Corn export outlook for US and Brazil is unchanged compared to the last forecast, confirming a negative trend (US -16.5% e Brazil -9.4% vs season 2018-19).

CLAL.it - Corn Export

CLAL.it – Corn Export

ETHANOL: Fall in demand

Following the collapse in the demand for gasoline, a domino effect has been seen on the demand for ethanol, which led to a reduction in production and the closure of several plants. According to Geoff Cooper, President and CEO of the RFA (Renewable Fuels Association), the ethanol industry could lose $ 10 Billion due to COVID-19 related issues. Some operators expect a 3 billion gallon decrease in ethanol production for 2020, with a drop of about 20% compared to 2019.

CLAL.it - Production of Ethanol in U.S.

CLAL.it – Production of Ethanol in U.S.

Futures are reflecting the negative trend of the market. CME Futures of July 20, which were $3.79 on February 25, have reached the level of $3.22 on April 20.

 

Soybean production expected +7.7% in Brazil, world’s main producer

Posted on 26/03/2020

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Soybean production increase in South America

Soybean global production for the season 2019/20 is forecast at 341,76 Mio Tons, -4.7% compared to 2018/19 season, but increasing compared to the previous estimates. This increase reflects the higher projected production in Brazil and Argentina.

Further increase in production expected for Brazil and Argentina in the season 2019/2020

For both South American Countries is expected a further increase in production of 1 Mio Ton compared to February prediction, reaching respectively 126 Mio Tons in Brazil and 54 Mio Tons in Argentina.

Brazil confirms itself as the world’s main Soybean producer in the 2019/2020 season, with an expected increment of 7.7% compared to the previous season. The increase of production in Argentina is mainly due to overall favourable conditions in higher-yielding central and north-western farming areas. Forecast for Soybean production in the US is unchanged at 96.84 Mio Tons (-19.6% compared to the previous season).

Considering a higher Soybean production in South America and an expected steady trend for consumption, it is expected a smaller decrease in stocks compared to the previous estimates.

Soybean export is positive, China main destination

Global Soybean export is expected to increase, +2.4% compared to the last season, driven by the higher exports for the main exporting Countries: US (+4.4%) and Brazil (+3.2%). This increase largely offset the projected decrease in export for Argentina (-9.9%).

China, which has accounted for the 57% of world Soybean import in the season 2018/2019, imported 88 Mio Tons in 2019, of which 57.7 Mio Tons from Brazil (65% of the total) and 17 Mio Tons from US (19% of the total). China’s average import price in December 2019 was 408 $/Ton.

TESEO - Soybean Production and Export

TESEO – Soybean Production and Export

Corn: market rally in the coming months?

Posted on 26/02/2020

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Market Trends and Forecasts
World Corn production expected to decrease by 1%.

World corn production for the season 2019/20 is estimated at 1111.59 Mio Tons, unchanged compared to the last outlook. The overall production is expected to decrease by 1% compared to the previous season.

CLAL.it - Corn Production

CLAL.it – Corn Production

The US lower Corn production forecast (-4.5%) could limits the surplus available to the export, which is expected in significant decrease. Considering that US Mais production accounts for 31.3% of the total production, this trend could have an impact over global prices.

According to USDA data, Chinese Corn production for the season 2019/20 is projected higher by 1.3% compared to last season, reaching 260.77 Mio Tons, but still not enough to completely meet domestic demand.

In Brazil, Corn collection has been already completed for about 50% of total harvested areas. Local farmers are waiting for adequate rains, which could prevent crop loss.

Favorable climate conditions in Argentina are supporting Corn production, estimated at 50 Mio Tons for the current season, slightly decreasing compared to the excellent 2018/19 season.

Production in Ukraine, the fourth world Corn exporter, is expected to be at the same high levels of the previous season. Ukraine accounts only for the 3% of the global Corn production but it has a significant share on the global Corn export (19%).

Global Corn stocks, according to USDA data, are lowered for the third consecutive year.

CLAL.it - Corn Production and Export

CLAL.it – Corn Production and Export

Export in decline for the main global Players

World Corn export for the season 2019/20 is expected lower compared to the last season. The main exporting countries are reducing their estimates: -16.5% for the US, -14.3% for Argentina and -6.9% for Brazil.

The delay of the brazilian second crop could affect the export of the United States. The exported volumes from the US could overcome the current estimates if the brazilian supply will not be enough to satisfy the demand from trade partners, or if the trade deal US-China will lead to higher chinese purchases.
Projections for trade flows with China are still uncertain following the current issues related to the Coronavirus outbreaks.

CLAL.it - Corn Export

CLAL.it – Corn Export

Market uncertainty, Futures quotes slowing down

The ongoing spread of the Coronavirus through China are generating uncertainty in the financial and commodity markets. This uncertainty is also reflected in the futures’ market, which have maintained a range between $3.95 and $4.05 from mid-December until the first outbreaks of the Coronavirus in late January.  Since the emergence of the disease has begun, old crop futures continue to grind lower with July futures closing on February 25 at $3.79.

Corn July 2020 Futures - CME Group

Corn July 2020 Futures – CME Group

Futures highlight closed contracts with lower prices compared to the previous weeks. Considering the lower Corn production expected for the season 2019/20, it could be possible to see a market Rally on Corn quotes in the next few months

Soybean: Prices on the rise in the new season

Posted on 20/01/2020

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CLAL Soybean report

World production

Global Soybean production for 2019/2020 season, is forecast at 337.70 Mio Tons, -5.7% compared to the 2018/2019 season, but it is still slightly above the level of the previous forecast.

Soybean total use is continuously growing, and given the lower expected production, ending stocks should reach 96.67 Mio Tons (-12,34%).

Soybean production in Brazil, expected to be the world’s main producer in the 2019/2020 season, should reach 123 Mio Tons (+5.1% compared to 2018/2019 season). United States’ production is decreasing (19.6%) due to the diminishing of U.S yield of land, especially in North Dakota and South Dakota.

Soybean Production

Global Export

Global export of Soybean for 219/2020 season is expected almost unchanged compared to the previous season. Higher predicted exports from Brazil and U.S. (overall +1,5%) compensate for the expected decrease from Argentina.

Brazil average export price in October is 0.37$ per Kg, while U.S. average export price is 0.36$ per Kg, both prices are increasing compared to last month.

Soybean exporters

Global Import

For the new season, China, the main world Soybean importer, should import more volumes: 85 Mio Tons, +3% compared to 2018/2019 season. China’s average import price in November is 0.40$ per Kg.

Soybean Import

Italian Import

In the first 10 months of 2019, Italy increased Soybean imports: +29% compared to January-October 2018. Italy has recorded an overall variation of +84.2% of the imported volumes from U.S. and Brazil, which remain the main suppliers.

Soybean Italian Import

Soybean Prices

 

 

World Corn production expected to decrease

Posted on 19/12/2019

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Market Trends and Forecasts
World Production

World Corn production for the 2019-20 season, which began on September 1, 2019, is estimated at 1108.62 Mio Tons, +0.6% from November outlook. 

Production is expected to decrease by 1.4% compared to the previous season.

Corn World ProductionThe two main world producers of Corn have opposite trends: a lower production is expected for United States (-5.3%), partially offset by higher expectations for China (+1.3%), reflecting increases to both cultivated area and yield. Corn production forecast is unchanged for Brazil and slightly higher for the EU-28 (+0.5%).

U.S. ethanol production is expected to be higher for the months of November and December.

ethanol productionGlobal Export

World Corn exports for the 2019-20 season are expected at 166.51 Mio Tons, -7.6% compared to the 2018-19 season, lower from the record level anticipated in the recent forecasts.
A decrease in exports is estimated for the 4 main players (United States, Brazil, Argentina and Ukraine), with an overall reduction of 8.3%.

corn exportGlobal Import

The European Union, the main Corn importer, should reduce its purchases (-16.7%).
The growing trend of imports continues for Mexico (+4.8%) and Vietnam (+12.7%), which now ranks 4th among the global.
World Corn imports are expected higher (+2.9%) for the 2019-20 season.

Corn importItalian Import

Italy for the period January-September 2019 increased its imports of Corn by 11.4%. Italian imports from Hungary, Slovenia, Romania and Croatia, are growing sharply, with an overall variation of +43.8%; Ukraina, instead, has reduced its exports towards Italy.

Italy Corn importCorn Prices

Soybean consumption worldwide continues to grow

Posted on 22/11/2019

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CLAL Soybean report

World production

Global Soybean production for 2019/20 season, which began on October 1st, is forecast at 336.56 Mio Tons, -6% compared to the 2018/19 season.

Soybean total use is constantly growing, and given the lower expected production, ending stocks should reach 95.42 Mio Tons (-13%).

Production-consumption-stock-soy

Soybean production of Brazil, world’s main producer expected for 2019/20 season, should reach 123 Mio Tons (+5.1% compared to 2018/19 season). United States’ production is decreasing (19.8%). The U.S yield of land is diminishing. There is also a lower yield in Canada and India.

Yearly-Soybean-Production

Global Export

Global export of Soybean for 2019/20 season is expected practically unchanged compared to the previous season. Higher projected exports from Brazil and U.S. offset for the expected decrease from Argentina. First weekly data show a slight increase of U.S. export of Soybean in the new season.

Soybean-main-exporters

Global Import

For the new season, China, the main world Soybean importer, should import more volumes: +3% compared to 2018/19 season.

Soybean-main-importers

Italian Import

In the first 8 months of 2019, Italy increased Soybean imports: +27.7% compared to January-August 2018. U.S. and Brazil are the main suppliers more than offsetting the sharp decline in purchases from Canada.

Italy-Imports-Soybean

Soybean-prices

United States: Corn used for ethanol is lowered

Posted on 17/10/2019

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Market Trends and Forecasts

World production

World Corn production for the 2019-20 season, which began on September 1, 2019, is estimated at 1104.01 Mio Tons, lower from the record level anticipated in the recent forecasts.

corn-production

Production is expected to decrease by 1.7% compared to the previous season, reflecting lower production in the United States (due to a decline in harvested area) and China, the main world producers. Corn production is forecast unchanged for Brazil and slightly higher for the EU-28 (+0.9%).

U.S. Corn used for ethanol is lower based on weekly production data as reported by the Energy Information Administration.

ethanol

Global export

World Corn exports for the 2019-20 season are expected at 169.9 Mio Tons (-6.3% compared to the 2018-19 season). A decrease in exports is estimated for the 4 main players (United States, Brazil, Argentina and Ukraine), which account for 87% of the market share.

corn-export

Global import

The European Union, the main importer of Corn, in the new 2019-20 season should reduce its purchases (-15.3%).
The growing trend of Mexican imports continues (+ 4.8%).

corn-import

Italian import

Data for the first seven months of 2019 of Italian imports of Corn recorded an overall increase of +9.5% y-o-y and showed strong growth from Hungary (+13.9%) and Slovenia (+273.4%), which more than offset a decrease in volumes imported from Ukraine (-13.6%).

italy-corn-import

corn-price

U.S. Soybean exports recover

Posted on 18/09/2019

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CLAL Soybean report

World production

Global Soybean production for 2019-20 season, beginning on October 1, is forecast at 341.39 Mio Tons, -5.4% compared to the 2018-19 season.

Soybean total use record a continuous increase and, given the lower expected production, ending stocks should reach 99.19 Mio Tons (-11.8%).

soy-production

In the 2018-19 season the United States were the first World Soybean Producer with a production of 123.7 Mio Tons, but for the 2019-20 season a production of 98.9 Mio Tons is expected (-20.1%), on a lower yield forecast at 47.9 bushels per acre.

Brazil will surpass the United States as the largest producer of Soybeans in 2019-20, taking over the top ranking, with a share of 36% and a production of 123 Mio Tons (+ 5.1%), which also reflects the yield increase.

soy-yields

Global export

For 2018-19 Soybean exports for Brazil are lowered based on lower-than-expected shipments during the past few months. However, higher-than-expected exports by Argentina and the United States, particularly to China, are offsetting.

The weekly data show that, after a significant decrease in the first half of the season, US exports have started to recover since April, and in August they exceeded the levels of 2018. In the period January-July 2019 the United States, after the slowdown in 2018, increased Soybean export to China by + 33%.

For 2019-20, Soybean exports are expected higher for the three main exporters (Brazil, USA, Argentina).

soy-export

Global import

China, the main world Soybean importer, is expected to increase its imports in the new season: +2.4% compared to 2018-19 season.

soy-import

Italian import

In the first half of 2019, Italy increased Soybean imports +23.3%, compared to January-June 2018. The United States and Brazil are the main suppliers, more than offsetting the sharp decline in purchases from Canada.

soy-italysoy-price

Corn: U.S. exports reflect competitiveness from Argentina, Brazil and Ukraine

Posted on 23/08/2019

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Market Trends and Forecasts

World production

World Corn production for the 2019-20 season, which will begin on September 1, 2019, is estimated at 1108.24 Mio Tons, deviating from the record level anticipated in May. Production is expected to decrease by 1.3% compared to the previous season, reflecting lower production in the United States and China, the main world producers.

corn-production

Ukraine production is projected record high at 36.5 Mio Tons, reflecting increases to both area and yield.

Also EU Corn production is raised, as Romania, Hungary and Bulgaria are producing more Corn than expected.

Global export

In the 2018-19 season, world corn exports are up sharply: +18.5%, according to estimates at 31 August 2019, in view of significant growth for Brazil, Argentina and Ukraine. An overall decrease of 3.6% is expected for the new season. Only Ukraine should further increase exports.

corn-export

Monthly updates for the first half of 2019 indicate exports of 26.4 Mio Tons for the United States, -28.5% compared to January-June 2018. For 2019-20 U.S. exports are lowered (-2.4%) reflecting export competitiveness and expectations of increasing competition from Argentina, Brazil and Ukraine.

us-weekly

Global import

The European Union, the main importer of Corn, in the new 2019-20 season should reduce purchases (-10.6%). The growing trend of Mexican imports continues (+ 8.8%).

corn-import

Italian import

Data for the first five months of 2019 of Italian imports of Corn recorded an overall increase of +4.4% y-o-y and showed strong growth from Croatia, Slovenia and Hungary, which more than offset a decrease in volumes imported from Ukraine and Romania.

italian-corn-import

corn-price

Record soybean production forecast for Brazil in the new season

Posted on 18/07/2019

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CLAL Soybean report

World production

World Soybean production for the 2019-20 season, which will begin on October 1, 2019, is estimated at 347.04 Mio Tons, -4.4% from the previous season.

Brazil is expected to overtake the United States as top Soybean producer, with a share of 35% due to a significant production increase (+5.1% compared to the current season). Projections for the United States are for lower planted and harvested area, and Soybean production in estimated at -15.4%. Soybean supply is slowing also for Argentina (-5.4%).

Soybean production

Global export

Global Soybean export, down 1.9% in the current season, is expected to recover in the new season (+0.7%), due to higher exports for the United States.

Looking at the 2018-19 export data, in the first 5 months of 2019 the U.S. recorded -2.7%, with lower volumes sold to China and Japan, in comparison with last year.

U.S. Soybean export

Global import

China, the main world Soybean importer, is expected to increase its imports in the new season: +2.4% compared to 2018-19 season.

Soybean top importers

For the EU-28, imports are forecast to slow down (-4.4%). EU data for the first 5 months of 2019 show a +3.6% increase in Soybean imports.

Italian import

In the first four months of 2019, Italy increased Soybean imports +16.8%, compared to January-April 2018. The United States and Brazil are the main suppliers, more than offsetting the sharp decline in purchases from Canada.

Italian Soybean importsSoybeans price

Agricultural Market: Corn, Soy, Wheat and Sunflower Seeds [July 2021 VIDEO]

Posted on 29/07/2021

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The videonews “Agricultural Market” offers a selection of recent information on agricultural commodities used for livestock feeding.

Temperature anomaliesSevere climatic events are affecting different parts of the world.
California, Canada and Brazil are experiencing extreme drought.
The heat wave also hit the Scandinavian countries.
On the contrary, heavy rains hit Western Europe hard, especially Germany.
A few days ago, floods also occurred in China.
The effects of these climatic phenomena have not yet been estimated, but they could affect agricultural production around the world.

CORN

maisFor the new season, which will start on September 1, production is expected to increase for the main countries compared to the previous season, after the difficulties encountered in the 2020-21 season, including the current drought in Brazil.

Chinese imports are expected to be stable, despite the policy of reducing the use of corn in animal feed, aimed at supporting the use of alternative raw materials.

Trade Update – European corn imports in the first 5 months of 2021 were lower than last year, reflecting a sharp decline from Ukraine. Italy’s imports recorded a decline in April.

corn

SOY

soia_500Global soybean trade has slowed in recent weeks. With Chinese demand as the driving factor, the weakening export pace can be attributed to a softening of Chinese purchases. Soybean stocks in China, already at high levels, continue to grow as earlier imports exceeded the monthly crush pace.

Soybean availability in the United States is expected to increase, but exports could suffer from competition with South America, where larger availability is expected for the October-December period.

Trade Update – EU-27 Soybean imports in May 2021 decreased significantly, especially from Brazil and Canada. Italy follows an opposite trend, in fact it imported significant volumes from Brazil, but Canada and the United States do not appear among the main suppliers in May.

soy

WHEAT

frumentoHigh yields in the EU-27 have led to an increase in supply. After the low temperatures and droughts in April and May, the wheat harvest benefited from a more favorable climate.

All North African countries have implemented domestic support policies that encourage domestic wheat production and seek to lower dependency on international suppliers. This could affect the export of the EU, the main supplier, which competes with Russia, Ukraine and Canada on this market.

Australia is a new competitor in the Asian markets for Canada and the United States. The production and exports of the two North American countries are expected to decline, also as a result of the changed use of agricultural areas for other crops. The lower availability could support the high export prices.

Trade update – EU-27 total Wheat exports in the first 5 months of 2021 were lower than last year, however Durum Wheat exports to Tunisia recovered in May 2021. In the first four months of 2021, Italy exported 66,555 tons of durum wheat to Tunisia and Algeria.

wheat-EU

SUNFLOWER SEEDS

sunflowerseedSunflower Seed production in Russia is estimated at record highs for the new season, with crop areas and yields on the rise.

In Italy, the cost of proteins obtained from whole grain Sunflower extraction meal is, from April 2021, higher than that of proteins obtained from Soybean extraction meal.

Trade Update – After a few months of decline, European Sunflower seed imports recovered in May 2021, with significant increases from Argentina and Russia.

import-sunflower

Market Snapshot

This infographic shows some key variables to analyze the situation of the Italian and international market at a glance.

The colors represent the variation: red for a decrease, green for an increase, blue for stable values, gray with an orange background for unquoted values.

Market Snapshot

Fonte: CLAL processing on IHS, Eurostat, ISTAT,
CCIAA Bologna, CCIAA Foggia, FranceAgriMer, agridata.ec.europa.eu, USDA-AMS, Mercado Rosario, Cepea

Corn and Soybean: prices and market updates | June 2021

Posted on 15/06/2021

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CORN

USDA released the June update on the Corn and Soybean markets.

Agricultural Year 2021/2022

The Beginning Stocks of Corn for the 2021/22 season are estimated to decrease compared to the May forecast, affected by the revisions on the current year. The projections on Global Production, Trade and Demand for Corn are substantially unchanged compared to the estimates of May, consequently the Ending Stocks are revised downwards.

corn-stocks-beginning

Agricultural Year 2020/2021

Corn Production for the season September 2020 – August 2021 has been revised downwards. Brazil, during the month of May, recordedlower than normal rainfall in the Central-West and South regions, negatively affecting the yields of the second Corn harvest.

As for the United States, for the current year, the data on Corn exports and on Corn used for the production of ethanol have been revised upwards, reducing stocks.
Ethanol prices have risen significantly in recent months, supported by a demand that is almost back to levels seen prior to COVID-19.

Market Prices

Average Corn prices in early June remain high, but at a lower level than the peaks reached in May. The average selling prices of Corn from 1 to 11 June in the USA (North West Iowa) stood at $ 276.2/Ton, +0.8% compared to May.

In Italy, the prices of National Corn quoted on 10 June in Bologna are up by + 1.5% compared to the previous quotation, ranging between 270 €/Ton and 276 €/Ton. However, the average prices in June are slightly down compared to May.

image (3)

SOY

Agricultural Year 2021/2022

Unlike Corn, the forecasts on the Beginning Soybean Stocks for the 2021/22 season are revised up by 1.5 Mio Tons, affected by the revisions on the September 2020 – August 2021 season. Projections on Global Soybean Production, Trade and Demand are substantially stable compared to the forecast of May. Consequently, the Ending Stocks are revised upwards.

soy-stocks-beginning

Agricultural Year 2020/2021

Soybean production for the current year (Sep 2020 – Aug 2021) has been revised upwards, driven by a higher Soybean harvest in Brazil.

Market Prices

The average selling prices of Soybeans recorded from 1 to 14 June in the USA (Western Illinois) stood at $ 605.8/Ton, down by -1.4% compared to the May average. Different situation in Brazil, where the average Soybean prices recorded in the same period in Paranà are up by + 1.7% in dollars compared to the month of May, reaching $ 548.5/Ton.

In Italy, the average price of Soybeans listed on 10 June in Bologna is 638 €/Ton, down by -2.0% compared to the previous price.

Bazil - Soybeans: monthly average price trend

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Corn and Soybean: prices and market updates | May 2021 [VIDEO]

Posted on 21/05/2021

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First USDA Forecast for the 2021-2022 season for the Corn and Soybean markets: global production is estimated to increase, positively affecting the ending stocks, while prices in the main markets remain high.

Michele from the CLAL.it and TESEO Team illustrates the forecast and the market trends in the following video.

2021-05-21

CORN 

Global Corn Production for the 2021/22 season is estimated at 1,190 million tons, up 5.4% compared to the previous year. Increases are expected in all main producing countries, with record harvests for Brazil, China and Ukraine.

The Global Demand for Corn for the 2021/22 season is also estimated to increase, driven mainly by the strong demand for animal feed.

Corn exports for the next season are estimated to grow by +5.7%, driven by Brazil (+ 22.9%), Argentina (+ 5.9%) and Ukraine (+ 32.6%). United States exports are expected to decrease by -11.7% due to the greater competitiveness of Ukraine and Russia.

corn-export

The Global Ending Stocks of Corn, resulting from the balance between production, demand and export, are estimated to increase by + 3.1%, with important variations in the United States (+ 19.9%) and in Brazil (+ 70.7%) .

In the main global markets, the average selling prices of Corn from 1 to 12 May recorded further increases, with significant variations for the USA (+ 21.4%), Argentina (+ 12.1% in dollars) and France (+ 10.8%) compared to the April prices.

In Italy, Corn prices are increasing. Current prices in Bologna for Italian corn range between 277€/Ton and 283€/Ton.

corn-prices

SOY

Global Soybean Production for the 2021/22 season is estimated at 386 Mio Ton, up by  6.2% compared to the previous year, driven by production increases in Brazil, the United States and Argentina.

Imports are estimated to increase by + 2.9%, supported by Chinese demand, which is expected to grow to 103 million tons for the year 2021/22. Exports show signs of stability, with an increase estimated for Brazil (+ 8.1%) offset by a decline expected for the United States (-9.0%).

soybean-export

With demand growing at a slower pace than production, the Global Ending Stocks of Soybeans are revised positively, + 5.3% compared to the 2020/21 season.

The rally of Soybeans prices continues in the first days of May. The average selling prices of Soybeans from 1 to 12 May in the USA (Western Illinois) stood at $ 627 / Ton, + 9.8% compared to the previous month.
Similar trend for Brazil, where the average Soybean prices from 1 to 12 May recorded a variation of + 7.2% in dollars compared to April, and for Italy, with the average price of Soybeans listed in Bologna which has exceeded 700 € / Ton.

soybean-prices

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Corn and Soybean: prices and market updates | April 2021

Posted on 19/04/2021

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CORN

USDA released the April update on the Corn and Soybean markets.

World Corn production for the year 2020/21 is estimated at 1,137 Mio Ton, slightly increasing compared to the previous forecast, with positive changes in the European Union (including the United Kingdom), Pakistan and Ecuador. Production in Argentina was revised downward, due to the drought conditions caused by the climatic phenomenon La Niña.

Following an expected increase in Corn consumption, global ending stocks were revised downwards, with an expected change of -6.3% compared to the previous year.

World Corn Production, Utilization and Stocks

World Corn Production, Utilization and Stocks

The average selling prices from April 1st to 15th recorded in West Iowa (USA) stood at $218/Ton, +5.4% compared to the previous month.
The average price of Corn recorded during the same period in Bordeaux (France) was €210.2/Ton, slightly decreasing compared to the average of March 2021.

Current prices in Bologna for Italian corn range between €233/Ton and €239/Ton.

SOY

World Soybean production for the current season is expected to increase by 1.4 Million Tons compared to the previous forecast. In Brazil, production is revised upwards (+ 1.5% compared to the previous forecast), as it could be supported by higher production yields.

Global ending Soybean stocks for the 2020/21 season have been positively revised compared to the previous forecast, while remaining at levels well below the 2019/20 season (-9.9%).

 

Map of Soybean Yields

Map of Soybean Yields

The average selling prices of Soybeans from April 1st to 15th in the USA were $547.7/Ton, an increase of + 0.1% compared to the previous month.

Soybean prices in Italy continue to rise. The latest quotation in Bologna records an average price of €693/Ton, with a variation of + 6.1% compared to the previous quotation.

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Corn and Soybean: prices and market updates | March 2021

Posted on 18/03/2021

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USDA Forecast of March shows signs of stability in the Corn and Soybean markets. World production estimates have been revised slightly upwards, positively influencing the final stocks, which, however, remain at significantly lower levels than the previous year.

CORN

USDA released the March update on the Corn and Soybean markets.

World Corn production for the season 2020/21 is estimated to increase slightly from the previous forecast, due to positive changes in India, South Africa and Bangladesh. The estimates for the main producers, USA, China and Brazil, remain unchanged.

The estimate of global ending stocks confirms a decrease of -5.1% compared to the previous year.

The average selling prices from March 1st to 11th recorded in West Iowa (USA) stood at $ 205/ton, down by -0.9% compared to the previous month. In Brazil, on the other hand, the average price of Corn from March 1st to 11th was slightly higher than in February, with an average price of $260.6 / ton.

In Italy, Corn prices are substantially stable. Current prices in Bologna for Italian corn range between 229€/Ton and 235€/Ton.

corn-prod-stocks

SOY

The global ending stocks of Soybeans are revised slightly upwards, although they remain at significantly lower levels than the previous year (-12.8%). The March forecast estimates an increase in final stocks for China and Brazil, almost entirely offset by the decrease expected for Argentina.

The production estimates for the current year are revised upwards in Brazil for 1 million tons, and downwards in Argentina for 0.5 million tons. In Argentina, in fact, the harvest could be affected by the drought conditions recorded in recent weeks.

soybean-production

Average US Soybean selling prices from March 1st to 11th increased by +2.7% compared to the previous month, settling at $548.8/ Ton. Increases in local currency soybean prices also occurred in Argentina and Brazil, mainly due to inflation.

The average price of Soybeans quoted on 11 March in Bologna increased significantly to € 546/Ton, + 4.4% compared to the previous price.

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soybean-prices-arg

Corn and Soybean: prices and market updates | February 2021 [VIDEO]

Posted on 17/02/2021

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Corn and Soybean prices remain high in the major markets. Chinese imports of Corn could triple this year, while for the United States a reduction in Soybean stocks is estimated, of -77.2%.

Michele from the CLAL.it and TESEO Team illustrates the forecast and the market trends in the following video.

immagine-play

CORN

USDA released the February update on the Corn and Soybean markets.

Slightly more optimistic is the forecast of February 10 regarding World Corn Production 2020/21, if compared with the previous forecast. Production is now estimated to rise by 17.5 million tonnes compared to the 2019/20 season.

On the other hand, the Consumption forecast shows a slight reduction, going from + 1.7% to + 1.5%.
As a result, the erosion of the World Corn Stocks expected for the 2020/21 season is more contained (-5.4% compared to the previous year).

corn-stocks

Chinese imports of Corn could triple this year, to the advantage of the United States, whose exports to China are on the rise.
The import of the European Union (including the UK) is estimated at 15.5 million tons, 3.1 million tons less than in the 2019/20 season.

Average selling prices from February 1st to 10th recorded in West Iowa (USA) remain at high levels, standing at $ 206.5 /Ton, up + 7.1% compared to the previous month.
Also in France, the average price of Corn from February 1st to 12th is slightly higher than in January, with an average price of 209.7 € / Ton.
Current prices in Bologna for Italian corn range between 230€/Ton and 236€/Ton.

bologna-corn-price

SOY

The latest USDA Forecast estimates an increase in Soybean Consumption compared to the previous outlook. This leads to a further decrease in final stocks for the current year: -11.49 million tons compared to the 2019/20 season.

The decline in stocks is mainly attributable to the United States, for which is estimated a reduction in inventories of -77.2%  compared to the previous season.

Average Soybean prices in the US and Brazil show signs of stability.
The average selling price from February 1st to 10th in Western Illinois (USA) is $ 529.7 / Ton. The average price over the same period in Brazil stood at $ 508.4/Ton.
The average price of Soybeans quoted on February 11 in Bologna is steady at € 500/Ton.

us-soybean-price

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Corn and Soybean: prices and market updates | January 2021

Posted on 03/02/2021

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2021 began with an increase in Corn and Soybean prices in the main global markets.
Michele of the CLAL.it and TESEO Team describes the causes in the following video.

The average prices of Corn and Soybean in January have increased significantly in the main global markets. Specifically, in the United States the price has increased by +16% for Corn and by +14.4% for Soybeans, compared to December 2020.

The increase in overseas prices of these two agricultural products is also affecting the main European and Italian markets. The average prices quoted on January 21 in Bologna are: 225 €/Ton for national Corn for zootechnical use and 498 €/Ton for national Soybeans.

These bullish trends increase the costs related to livestock feeding for farmers.

Simulated Feed Ration

What are the main reasons for these increases?

The supply of Corn and Soybean seems not able to meet the global demand.

In January, USDA revised downward the stocks of Corn and Soybean, respectively -1.8% and -1.5% compared to previous forecasts. At the end of the 2020/21 season, the stocks of these two agricultural products are estimated to decrease by -6.3% for Corn and -11.6% for Soybean.

The global production of Corn and Soybean was also revised downward compared to the December forecast, by approximately 10 million tons of Corn and 1 million tons of Soybeans.

The main causes of this revision are the drought in South America and the lower US harvests.

For more details on the dairy, agricultural and swine markets, follow us on our websites CLAL.it and TESEO.clal.it.

stock-corn-soy

Soybean: prices and market updates | November 2020 [VIDEO]

Posted on 04/12/2020

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World Soybean Production is expected to grow for the new season, driven by the United States and Brazil, while China is confirmed as the main destination for the export of Soybean.
Soy prices increased in November in the main global markets.

Michele from the CLAL Team illustrates the Soybean market trend in the following video.

Soybean Global Production for the season September 2020 – August 2021 is estimated to decrease slightly compared to the previous forecast, but it is still increasing by +7.7% compared to the 2019-20 season (USDA Forecast).

Production is expected to grow for the two main global players, Brazil (+5.6%) and the United States (+17.4%). Production estimates are positive also for Argentina and the European Union.

soybean-production

Global Export of Soybean for the 2020-21 season is estimated to increase slightly, +1.9% compared to the previous season, driven by the positive trend of US exports (+31.2%).

Exports from Brazil and Argentina are expected to decrease. The October data show a reduction in exports, respectively -50.9% and -91% compared to October 2019.

The main destination for the Soybean export remains China, which accounts for about the ⅔ of the total import. For the 2020-21 season, China is expected to increase its Import by 1.5%, reaching 100 Mio Tons. In October, China imported about 8.7 Mio Tons of Soybean, +2.5 Mio Tons compared to October 2019.

soybean-import

The European Union for the period January – September 2020 imported more than 12 Mio Tons of Soybean, recording an increase of +7.7% compared to the same period of 2019. However, for the 2020-21 season, the European Import is expected to decrease by -1.3%.

Soybean prices continue to rise in the main global markets.
The average November price in Argentina is $341 per Ton, +7% compared to the previous month and +36.4% compared to November 2019. The trend is positive also for the United States, with the USDA estimating an average seasonal price increase by over 20% for the 2020/21 season.

In Italy, the price of National Soybean has increased significantly. The average price of November in Bologna is 416€ per Ton, +7.3% compared to the previous month and +22% compared to November 2019.

Register to our websites CLAL.it and TESEO.clal.it to be always up to date with the latest information about the dairy, the agricultural and the pork market.

Thank you for following us, from Michele Badolato and the CLAL Team. 

soybean-prices

Corn: prices and market updates | November 2020 [VIDEO]

Posted on 18/11/2020

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World Corn Production and Export are expected to grow for the new season, driven by the United States and Brazil.
Corn prices increased in the USA, Argentina and some EU countries, including Italy.

Michele from the CLAL Team illustrates the Corn market trend in the following video.

copertina_EN_play

World Corn Production for the season September 2020 – August 2021 is projected at 1,144.6 Mio Tons, according to USDA. The forecast, updated in November, is slightly lower than the previous estimate, but it still shows a year-over-year rise by +2.5%.

The increase in production is driven by the United States (+6.5%) and Brazil (+7.8%). Production in the European Union, Argentina and Ukraine is expected to decrease due to drought conditions.

corn-us-outlook

The forecast of Corn Export for the 2020-21 season is positive, with an expected variation of +8.0% compared to the 2019-20 agricultural year. Also this increase is driven by the United States (+49.0%) and Brazil (+14.7%).

The European Union, in the period January – September 2020, exported 3.142.400 mio tons of corn, +15.4% compared to the first 9 months of 2019. However, for the 2020-2021 season, a significant reduction is expected. Exports from Argentina and Russia are also estimated to decrease.

corn-export

Corn prices continue to rise in the USA. The average November price in West Iowa is $156.8 per Ton, +5.1% compared to the previous month.  Also in Argentina the price rose significantly, starting from June, and the average monthly price of the Mercado Rosario is $190 per ton.

This trend is also reflected in the prices in The Netherlands, Portugal, Spain and Italy.  The current prices in Bologna for Italian corn range between 194€/Ton and 200€/Ton.

For more details on the dairy, agricultural and swine markets, follow us on our websites CLAL.it and TESEO.clal.it.

Corn prices Argentina

China: Soy consumption at record levels in 2020/21 season

Posted on 21/05/2020

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Global Production

Soybean Global production for the season 2019/20 is projected at 336.11 Mio Tons (-6.7% on 2018/19), slightly decreasing compared to the previous estimates.

Brazil Soybean production is estimated at 124 Mio Tons for the season 2019/20 (+4.2% on 2018/19).

The increase in production is driven by the increase in the harvested area, +3% compared the last season, and a higher yield per hectare (+3%). The only exception is the Rio Grande do Sul State, where a decrease in production is expected due to drought.

Soybean production for the United States and Argentina is expected to decrease compared both to the previous season, respectively to 96.78 Mio Tons (-19.7%), and 51 Mio Tons (-7.8%), and to April estimates. In Argentina, unfavourable weather conditions have reduced yields by -10%.

TESEO.it - Soybean Top Producers

TESEO.it – Soybean Top Producers

Global soybean production in 2020/21 is forecast to surge to 362.8 million tons, up 8 percent from the 2019/20 estimate. For United States and Brazil, the main producing Countries, it is expected an increase in harvested area and yields. Production is estimated at 131 Mio Tons for Brazil, and at 121 Mio Tons for the US.

TESEO.it - Map of Soybean Yields

TESEO.it – Map of Soybean Yields

Consumption, Export and Prices

Soybean consumption for the 2019/20 season is stable at 348 Mio Tons, while for the 2020/21 it is expected at a record level.

The world export of Soybean 2019/20 is expected to increase (+3.8% on 2018-19), reaching the level of 153.98 Mio Tons.

Brazil’s exports are estimated at 84 Mio Tons, (+12.6% on 2018-19), reflecting the increased trade during March and April, supported by a greater competitiveness in the markets due to the weaker currency.

On the contrary, US exports, which are suffering from the competition with Brazil, are estimated at 45.59 Mio Tons, (-4.2% on 2018/19).

Brazil’s average export prices for March 2020 are down to $345 per ton, while the US prices are slightly higher at $366 per ton.

TESEO.it - Average Soybean Export Prices

TESEO.it – Average Soybean Export Prices

In 2020/21, China is expected to account for over half of global consumption growth, mainly due to the expansion of the Chinese swine herd, which is recovering from African swine fever.

Corn: the demand for Ethanol falls down

Posted on 21/04/2020

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Global Corn Production

Corn production for the season 2019-20 is estimated at 1113.02 Mio Tons, adjusted higher compared to the last outlook. The overall production is expected to decrease by 0.9% compared to the previous season.

Global Corn production is forecasted up with larger crops in the European Union and Belarus more than offsetting reductions for Indonesia and Laos.

The US Corn production forecast is unchanged compared to the last estimates (-4.5% compared 2018/2019 season). Some operators believe that Coronavirus should not  delay farmers from planting. The USDA has estimated Corn acreage in the US for 2020-21 (September-August) at 96.99 million acres, 4% higher on year, and the highest after 2012-13. The U.S. season-average farm price decreased to $3.60 per bushel, down $0,20 compared to last season.

Corn production forecast is expected unchanged for China, Brazil and Argentina compared to the previous outlook.

Following the above-average rains in March, CONAB estimates good harvests in Mato Grosso area in Brazil, which represents approximately 46 percent of Brazil’s second-season crop. In the areas located south of Mato Grosso, March rains were below-average.

CLAL.it - Map Corn Yields

CLAL.it – Map Corn Yields

Global Corn Export: slight increase compared to the last outlook

Corn export for the season 2019-20 is projected slightly higher compared to last estimates, but it is still lower compared to the 2018-19 season.

April’s export forecast shows an increase for UE and Argentina, while a decrease for Russia.

Corn export outlook for US and Brazil is unchanged compared to the last forecast, confirming a negative trend (US -16.5% e Brazil -9.4% vs season 2018-19).

CLAL.it - Corn Export

CLAL.it – Corn Export

ETHANOL: Fall in demand

Following the collapse in the demand for gasoline, a domino effect has been seen on the demand for ethanol, which led to a reduction in production and the closure of several plants. According to Geoff Cooper, President and CEO of the RFA (Renewable Fuels Association), the ethanol industry could lose $ 10 Billion due to COVID-19 related issues. Some operators expect a 3 billion gallon decrease in ethanol production for 2020, with a drop of about 20% compared to 2019.

CLAL.it - Production of Ethanol in U.S.

CLAL.it – Production of Ethanol in U.S.

Futures are reflecting the negative trend of the market. CME Futures of July 20, which were $3.79 on February 25, have reached the level of $3.22 on April 20.

 

Soybean production expected +7.7% in Brazil, world’s main producer

Posted on 26/03/2020

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Soybean production increase in South America

Soybean global production for the season 2019/20 is forecast at 341,76 Mio Tons, -4.7% compared to 2018/19 season, but increasing compared to the previous estimates. This increase reflects the higher projected production in Brazil and Argentina.

Further increase in production expected for Brazil and Argentina in the season 2019/2020

For both South American Countries is expected a further increase in production of 1 Mio Ton compared to February prediction, reaching respectively 126 Mio Tons in Brazil and 54 Mio Tons in Argentina.

Brazil confirms itself as the world’s main Soybean producer in the 2019/2020 season, with an expected increment of 7.7% compared to the previous season. The increase of production in Argentina is mainly due to overall favourable conditions in higher-yielding central and north-western farming areas. Forecast for Soybean production in the US is unchanged at 96.84 Mio Tons (-19.6% compared to the previous season).

Considering a higher Soybean production in South America and an expected steady trend for consumption, it is expected a smaller decrease in stocks compared to the previous estimates.

Soybean export is positive, China main destination

Global Soybean export is expected to increase, +2.4% compared to the last season, driven by the higher exports for the main exporting Countries: US (+4.4%) and Brazil (+3.2%). This increase largely offset the projected decrease in export for Argentina (-9.9%).

China, which has accounted for the 57% of world Soybean import in the season 2018/2019, imported 88 Mio Tons in 2019, of which 57.7 Mio Tons from Brazil (65% of the total) and 17 Mio Tons from US (19% of the total). China’s average import price in December 2019 was 408 $/Ton.

TESEO - Soybean Production and Export

TESEO – Soybean Production and Export

Corn: market rally in the coming months?

Posted on 26/02/2020

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Market Trends and Forecasts
World Corn production expected to decrease by 1%.

World corn production for the season 2019/20 is estimated at 1111.59 Mio Tons, unchanged compared to the last outlook. The overall production is expected to decrease by 1% compared to the previous season.

CLAL.it - Corn Production

CLAL.it – Corn Production

The US lower Corn production forecast (-4.5%) could limits the surplus available to the export, which is expected in significant decrease. Considering that US Mais production accounts for 31.3% of the total production, this trend could have an impact over global prices.

According to USDA data, Chinese Corn production for the season 2019/20 is projected higher by 1.3% compared to last season, reaching 260.77 Mio Tons, but still not enough to completely meet domestic demand.

In Brazil, Corn collection has been already completed for about 50% of total harvested areas. Local farmers are waiting for adequate rains, which could prevent crop loss.

Favorable climate conditions in Argentina are supporting Corn production, estimated at 50 Mio Tons for the current season, slightly decreasing compared to the excellent 2018/19 season.

Production in Ukraine, the fourth world Corn exporter, is expected to be at the same high levels of the previous season. Ukraine accounts only for the 3% of the global Corn production but it has a significant share on the global Corn export (19%).

Global Corn stocks, according to USDA data, are lowered for the third consecutive year.

CLAL.it - Corn Production and Export

CLAL.it – Corn Production and Export

Export in decline for the main global Players

World Corn export for the season 2019/20 is expected lower compared to the last season. The main exporting countries are reducing their estimates: -16.5% for the US, -14.3% for Argentina and -6.9% for Brazil.

The delay of the brazilian second crop could affect the export of the United States. The exported volumes from the US could overcome the current estimates if the brazilian supply will not be enough to satisfy the demand from trade partners, or if the trade deal US-China will lead to higher chinese purchases.
Projections for trade flows with China are still uncertain following the current issues related to the Coronavirus outbreaks.

CLAL.it - Corn Export

CLAL.it – Corn Export

Market uncertainty, Futures quotes slowing down

The ongoing spread of the Coronavirus through China are generating uncertainty in the financial and commodity markets. This uncertainty is also reflected in the futures’ market, which have maintained a range between $3.95 and $4.05 from mid-December until the first outbreaks of the Coronavirus in late January.  Since the emergence of the disease has begun, old crop futures continue to grind lower with July futures closing on February 25 at $3.79.

Corn July 2020 Futures - CME Group

Corn July 2020 Futures – CME Group

Futures highlight closed contracts with lower prices compared to the previous weeks. Considering the lower Corn production expected for the season 2019/20, it could be possible to see a market Rally on Corn quotes in the next few months

Soybean: Prices on the rise in the new season

Posted on 20/01/2020

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CLAL Soybean report

World production

Global Soybean production for 2019/2020 season, is forecast at 337.70 Mio Tons, -5.7% compared to the 2018/2019 season, but it is still slightly above the level of the previous forecast.

Soybean total use is continuously growing, and given the lower expected production, ending stocks should reach 96.67 Mio Tons (-12,34%).

Soybean production in Brazil, expected to be the world’s main producer in the 2019/2020 season, should reach 123 Mio Tons (+5.1% compared to 2018/2019 season). United States’ production is decreasing (19.6%) due to the diminishing of U.S yield of land, especially in North Dakota and South Dakota.

Soybean Production

Global Export

Global export of Soybean for 219/2020 season is expected almost unchanged compared to the previous season. Higher predicted exports from Brazil and U.S. (overall +1,5%) compensate for the expected decrease from Argentina.

Brazil average export price in October is 0.37$ per Kg, while U.S. average export price is 0.36$ per Kg, both prices are increasing compared to last month.

Soybean exporters

Global Import

For the new season, China, the main world Soybean importer, should import more volumes: 85 Mio Tons, +3% compared to 2018/2019 season. China’s average import price in November is 0.40$ per Kg.

Soybean Import

Italian Import

In the first 10 months of 2019, Italy increased Soybean imports: +29% compared to January-October 2018. Italy has recorded an overall variation of +84.2% of the imported volumes from U.S. and Brazil, which remain the main suppliers.

Soybean Italian Import

Soybean Prices

 

 

World Corn production expected to decrease

Posted on 19/12/2019

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Market Trends and Forecasts
World Production

World Corn production for the 2019-20 season, which began on September 1, 2019, is estimated at 1108.62 Mio Tons, +0.6% from November outlook. 

Production is expected to decrease by 1.4% compared to the previous season.

Corn World ProductionThe two main world producers of Corn have opposite trends: a lower production is expected for United States (-5.3%), partially offset by higher expectations for China (+1.3%), reflecting increases to both cultivated area and yield. Corn production forecast is unchanged for Brazil and slightly higher for the EU-28 (+0.5%).

U.S. ethanol production is expected to be higher for the months of November and December.

ethanol productionGlobal Export

World Corn exports for the 2019-20 season are expected at 166.51 Mio Tons, -7.6% compared to the 2018-19 season, lower from the record level anticipated in the recent forecasts.
A decrease in exports is estimated for the 4 main players (United States, Brazil, Argentina and Ukraine), with an overall reduction of 8.3%.

corn exportGlobal Import

The European Union, the main Corn importer, should reduce its purchases (-16.7%).
The growing trend of imports continues for Mexico (+4.8%) and Vietnam (+12.7%), which now ranks 4th among the global.
World Corn imports are expected higher (+2.9%) for the 2019-20 season.

Corn importItalian Import

Italy for the period January-September 2019 increased its imports of Corn by 11.4%. Italian imports from Hungary, Slovenia, Romania and Croatia, are growing sharply, with an overall variation of +43.8%; Ukraina, instead, has reduced its exports towards Italy.

Italy Corn importCorn Prices

Soybean consumption worldwide continues to grow

Posted on 22/11/2019

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CLAL Soybean report

World production

Global Soybean production for 2019/20 season, which began on October 1st, is forecast at 336.56 Mio Tons, -6% compared to the 2018/19 season.

Soybean total use is constantly growing, and given the lower expected production, ending stocks should reach 95.42 Mio Tons (-13%).

Production-consumption-stock-soy

Soybean production of Brazil, world’s main producer expected for 2019/20 season, should reach 123 Mio Tons (+5.1% compared to 2018/19 season). United States’ production is decreasing (19.8%). The U.S yield of land is diminishing. There is also a lower yield in Canada and India.

Yearly-Soybean-Production

Global Export

Global export of Soybean for 2019/20 season is expected practically unchanged compared to the previous season. Higher projected exports from Brazil and U.S. offset for the expected decrease from Argentina. First weekly data show a slight increase of U.S. export of Soybean in the new season.

Soybean-main-exporters

Global Import

For the new season, China, the main world Soybean importer, should import more volumes: +3% compared to 2018/19 season.

Soybean-main-importers

Italian Import

In the first 8 months of 2019, Italy increased Soybean imports: +27.7% compared to January-August 2018. U.S. and Brazil are the main suppliers more than offsetting the sharp decline in purchases from Canada.

Italy-Imports-Soybean

Soybean-prices

United States: Corn used for ethanol is lowered

Posted on 17/10/2019

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Market Trends and Forecasts

World production

World Corn production for the 2019-20 season, which began on September 1, 2019, is estimated at 1104.01 Mio Tons, lower from the record level anticipated in the recent forecasts.

corn-production

Production is expected to decrease by 1.7% compared to the previous season, reflecting lower production in the United States (due to a decline in harvested area) and China, the main world producers. Corn production is forecast unchanged for Brazil and slightly higher for the EU-28 (+0.9%).

U.S. Corn used for ethanol is lower based on weekly production data as reported by the Energy Information Administration.

ethanol

Global export

World Corn exports for the 2019-20 season are expected at 169.9 Mio Tons (-6.3% compared to the 2018-19 season). A decrease in exports is estimated for the 4 main players (United States, Brazil, Argentina and Ukraine), which account for 87% of the market share.

corn-export

Global import

The European Union, the main importer of Corn, in the new 2019-20 season should reduce its purchases (-15.3%).
The growing trend of Mexican imports continues (+ 4.8%).

corn-import

Italian import

Data for the first seven months of 2019 of Italian imports of Corn recorded an overall increase of +9.5% y-o-y and showed strong growth from Hungary (+13.9%) and Slovenia (+273.4%), which more than offset a decrease in volumes imported from Ukraine (-13.6%).

italy-corn-import

corn-price

U.S. Soybean exports recover

Posted on 18/09/2019

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CLAL Soybean report

World production

Global Soybean production for 2019-20 season, beginning on October 1, is forecast at 341.39 Mio Tons, -5.4% compared to the 2018-19 season.

Soybean total use record a continuous increase and, given the lower expected production, ending stocks should reach 99.19 Mio Tons (-11.8%).

soy-production

In the 2018-19 season the United States were the first World Soybean Producer with a production of 123.7 Mio Tons, but for the 2019-20 season a production of 98.9 Mio Tons is expected (-20.1%), on a lower yield forecast at 47.9 bushels per acre.

Brazil will surpass the United States as the largest producer of Soybeans in 2019-20, taking over the top ranking, with a share of 36% and a production of 123 Mio Tons (+ 5.1%), which also reflects the yield increase.

soy-yields

Global export

For 2018-19 Soybean exports for Brazil are lowered based on lower-than-expected shipments during the past few months. However, higher-than-expected exports by Argentina and the United States, particularly to China, are offsetting.

The weekly data show that, after a significant decrease in the first half of the season, US exports have started to recover since April, and in August they exceeded the levels of 2018. In the period January-July 2019 the United States, after the slowdown in 2018, increased Soybean export to China by + 33%.

For 2019-20, Soybean exports are expected higher for the three main exporters (Brazil, USA, Argentina).

soy-export

Global import

China, the main world Soybean importer, is expected to increase its imports in the new season: +2.4% compared to 2018-19 season.

soy-import

Italian import

In the first half of 2019, Italy increased Soybean imports +23.3%, compared to January-June 2018. The United States and Brazil are the main suppliers, more than offsetting the sharp decline in purchases from Canada.

soy-italysoy-price

Corn: U.S. exports reflect competitiveness from Argentina, Brazil and Ukraine

Posted on 23/08/2019

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Market Trends and Forecasts

World production

World Corn production for the 2019-20 season, which will begin on September 1, 2019, is estimated at 1108.24 Mio Tons, deviating from the record level anticipated in May. Production is expected to decrease by 1.3% compared to the previous season, reflecting lower production in the United States and China, the main world producers.

corn-production

Ukraine production is projected record high at 36.5 Mio Tons, reflecting increases to both area and yield.

Also EU Corn production is raised, as Romania, Hungary and Bulgaria are producing more Corn than expected.

Global export

In the 2018-19 season, world corn exports are up sharply: +18.5%, according to estimates at 31 August 2019, in view of significant growth for Brazil, Argentina and Ukraine. An overall decrease of 3.6% is expected for the new season. Only Ukraine should further increase exports.

corn-export

Monthly updates for the first half of 2019 indicate exports of 26.4 Mio Tons for the United States, -28.5% compared to January-June 2018. For 2019-20 U.S. exports are lowered (-2.4%) reflecting export competitiveness and expectations of increasing competition from Argentina, Brazil and Ukraine.

us-weekly

Global import

The European Union, the main importer of Corn, in the new 2019-20 season should reduce purchases (-10.6%). The growing trend of Mexican imports continues (+ 8.8%).

corn-import

Italian import

Data for the first five months of 2019 of Italian imports of Corn recorded an overall increase of +4.4% y-o-y and showed strong growth from Croatia, Slovenia and Hungary, which more than offset a decrease in volumes imported from Ukraine and Romania.

italian-corn-import

corn-price

Record soybean production forecast for Brazil in the new season

Posted on 18/07/2019

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CLAL Soybean report

World production

World Soybean production for the 2019-20 season, which will begin on October 1, 2019, is estimated at 347.04 Mio Tons, -4.4% from the previous season.

Brazil is expected to overtake the United States as top Soybean producer, with a share of 35% due to a significant production increase (+5.1% compared to the current season). Projections for the United States are for lower planted and harvested area, and Soybean production in estimated at -15.4%. Soybean supply is slowing also for Argentina (-5.4%).

Soybean production

Global export

Global Soybean export, down 1.9% in the current season, is expected to recover in the new season (+0.7%), due to higher exports for the United States.

Looking at the 2018-19 export data, in the first 5 months of 2019 the U.S. recorded -2.7%, with lower volumes sold to China and Japan, in comparison with last year.

U.S. Soybean export

Global import

China, the main world Soybean importer, is expected to increase its imports in the new season: +2.4% compared to 2018-19 season.

Soybean top importers

For the EU-28, imports are forecast to slow down (-4.4%). EU data for the first 5 months of 2019 show a +3.6% increase in Soybean imports.

Italian import

In the first four months of 2019, Italy increased Soybean imports +16.8%, compared to January-April 2018. The United States and Brazil are the main suppliers, more than offsetting the sharp decline in purchases from Canada.

Italian Soybean importsSoybeans price