WORLD MARKETS AND TRADE :
COMMENTARY AND CURRENT DATA
COARSE GRAINS: WORLD MARKETS AND TRADE
U.S. Corn Exports to NAFTA Countries Stay Strong: Amidst
softening demand in South America, the Middle East, and East and Southeast Asia,
U.S. corn exports have found a bright spot in NAFTA, where import demand has
increased by 9 percent since last year. Canada’s stronger appetite is fueled by
higher livestock feeding and industrial use. Mexico’s demand is growing rapidly
largely due to its expanding poultry sector. Although U.S. exports elsewhere in
the world have fluctuated over the past 4 years due to competition, NAFTA has
remained a steady and strong market. (See PDF
version for chart)
Domestic: June export bids for #2 yellow corn averaged
nearly $98/MT, up more than $2 from May. Corn export values have remained in a
narrow range since harvest.
June export bids for #2 yellow sorghum (Texas Gulf) averaged
just over $98/MT, up $2 from the previous month but 15 percent below year-ago
prices. Sorghum remains at a slight premium to corn, partly as a result of
recent strong commercial and aid shipments. (See
PDF version for chart)
TRADE CHANGES IN 2005/2006
- Ukraine barley is up 500,000 tons to 4.0 million based on larger
- EU barley is down 300,000 tons to 3.3 million because of greater
expected Ukrainian competition at prices necessitating larger EU export
- Canada corn is up 200,000 tons to 2.0 million based on smaller crop
- Egypt corn is raised by 300,000 tons to 4.8 million with
- South Korea corn is cut 300,000 tons to 8.5 million as its feed demand
- Mexico corn is raised 300,000 tons to 6.2 million due to strong demand
from the poultry sector.
- Venezuela corn is dropped 250,000 tons to 400,000 as the poultry
sector faces competition from Brazilian broiler imports.
TRADE CHANGES IN 2004/2005
- United States corn is raised 500,000 tons to 46.0 million on the basis
of pace to date and stronger demand from Canada and Mexico.
- Brazil corn is lowered 200,000 tons to 1.5 million as winter crop
production is very poor and exports have dropped to a trickle.
- EU corn is down 300,000 tons to 200,000 due to a sluggish pace.
- EU barley is increased 500,000 tons to 3.3 million tons on strong
late-season sales out of intervention.
- Australia sorghum is down 200,000 tons to 500,000 based on slow
early-season shipments to Japan.
- United States sorghum is up 200,000 tons to 4.7 million based on the
export pace to date.
- Brazil corn is cut 300,000 tons to 700,000 as the government clamps
down on imports of biotech corn.
- Canada corn is up 200,000 tons to 2.4 million on the basis of a strong
- Egypt corn is up 500,000 tons to 5.0 million because of strong
recovery in domestic demand, especially in the livestock and poultry sectors.
- Indonesia corn is down 300,000 tons to 500,000, as the poultry sector
continues to languish due to Avian Influenza.
- South Korea corn is down 200,000 tons to 8.3 million as demand appears
stagnant and the import pace lags.
- Mexico corn is up 300,000 tons to 6.0 million on the basis of strong
demand from the poultry sector.
- Saudi Arabia corn is dropped 400,000 tons to 1.2 million on account of
a sluggish pace.
- Tunisia corn is down 200,000 tons to 600,000 as higher barley feeding
in the poultry sector displaces corn.
- Venezuela corn is slashed by half to 300,000 tons as a result of
higher poultry imports from Brazil and government’s restrictions on corn
- Mexico sorghum is down 100,000 tons to 3.4 million because of slack
shipments from the United States.
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Last modified: Thursday, November 13, 2003