Global Ag News for Jan 4 22

U.S. Corn Used for Ethanol at 468.7M Bu in November

Wheat prices overnight are up 3 3/4 in SRW, up 6 in HRW, unchanged in HRS; Corn is up 6 1/4; Soybeans up 11 3/4; Soymeal up $0.12; Soyoil up 0.71.

For the week so far wheat prices are down 9 1/4 in SRW, down 3 3/4 in HRW, down 14 1/4 in HRS; Corn is up 2 1/4; Soybeans up 28; Soymeal up $1.34; Soyoil up 0.58.

Chinese Ag futures (MAY 22) Soybeans down 72 yuan ; Soymeal up 55; Soyoil up 94; Palm oil up 190; Corn up 22 — Malasyian Palm is up 40. Malaysian palm oil prices overnight were up 57 ringgit (+1.17%) at 4914.

There were no changes in registrations. Registration total: 1,900 SRW Wheat contracts; 39 Oats; 50 Corn; 573 Soybeans; 143 Soyoil; 0 Soymeal; 92 HRW Wheat.

Preliminary changes in futures Open Interest as of January 3 were: SRW Wheat up 2,755 contracts, HRW Wheat up 519, Corn down 4,862, Soybeans up 7,461, Soymeal up 2,761, Soyoil up 3,988.

Brazil Grains & Oilseeds Forecast: Rio Grande do Sul and Parana Forecast: Isolated showers Monday. Scattered showers Tuesday-Wednesday. Isolated showers north Thursday-Friday. Temperatures near to above normal through Tuesday, near normal Wednesday-Friday. Mato Grosso, MGDS and southern Goias Forecast: Scattered showers through Friday. Temperatures near normal through Friday.

Argentina Grains & Oilseeds Forecast: Cordoba, Santa Fe, Northern Buenos Aires Forecast: Isolated showers through Tuesday. Mostly dry Wednesday-Friday. Temperatures near to above normal through Tuesday, near to below normal Wednesday-Thursday, near normal Friday. La Pampa, Southern Buenos Aires Forecast: Isolated showers through Tuesday. Mostly dry Wednesday-Friday. Temperatures near to above normal through Tuesday, near to below normal Wednesday-Thursday, near normal Friday.

The player sheet for Jan. 3 had funds: net sellers of 6,000 contracts of  SRW wheat, sellers of 4,500 corn, sellers of 6,500 soybeans, buyers of 5,500 soymeal, and  unchanged in soyoil.

PENDING TENDERS

  • RICE TENDER: South Korea’s state-backed Agro-Fisheries & Food Trade Corp issued an international tender to purchase an estimated 22,000 tonnes of rice to be sourced from the United States
  • RICE TENDER: Bangladesh’s state grains buyer issued an international tender to purchase 50,000 tonnes of rice with import using land transport by railway
  • WHEAT TENDER: Iraq’s state grains buyer issued a tender to buy a nominal 50,000 tonnes of milling wheat with a limited number of trading companies asked to offer
  • WHEAT TENDER: Jordan’s state grain buyer issued an international tender to buy 120,000 tonnes of milling wheat which can be sourced from optional origins

U.S. Soybean Crushings at 190M Bushels in November: USDA

USDA releases monthly oilseed report on website.

  • Crushing 0.3% lower than same period last year
  • Crude oil production 1.9% higher than same period last year
  • Crude and once-refined oil stocks up 14.1% y/y

Brazil Soy Crop Seen Falling From a Year Ago on Dryness: StoneX

The 2021-22 soybean production estimate for Brazil was cut by 7.7% from December forecast to 134m tons due to weather issues caused by La Nina, StoneX says Monday in a report.

  • Brazil 2021-22 soybean crop, previously expected to be a record, is now seen below the 135.5m tons reaped in 2020-21
  • While La Nina has caused dryness and heat in the South, rains in the North and Northeast have been ample
  • Harvest has started in some regions, but weather conditions will continue impacting yields in January and February
  • 2022 exports estimate was cut to 84m tons from 92m tons on lower supply
    • Shipments reached 86.2m tons in 2021, a record

Malaysia Dec. 1-31 Palm Oil Exports to EU 359,601 Tons: SGS

Following is a table of Malaysia’s palm oil export figures, according to estimates by independent cargo surveyor SGS Malaysia Sdn.

  • EU imported 359,601 tons; -5% m/m
  • India imported 302,775 tons; -24.8% m/m
  • China imported 163,539 tons; -37.5% m/m

Indonesia Keeps Market Intervention to Cool Cooking Oil Prices

Indonesia, the world’s biggest oil palm grower, said it will continue to require producers to sell cooking oil in simple packaging at 14,000 rupiah per liter to ensure supply of affordable products, said the Trade Minister Muhammad Lutfi in a statement on Tuesday.

  • These cheaper products will be available in both modern retail shops and traditional markets
  • Stockpiles of cooking oil seen adequate; govt started market intervention to stabilize prices during Christmas and New Year holidays
  • Govt. to use the funds collected from palm oil export levy by the Indonesia Oil Palm Plantations Fund Management Agency (BPDPKS) to stabilize cooking oil prices
  • The price of cooking oil as of Jan. 3 was 17,900 rupiah/liter for bulk products, 18,500 rupiah/liter for the simple-packaged ones and 20,300 rupiah /liter for premium brands

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