Market Titbits
India's monsoon season is officially over, and produced 23% less rain than normal. The soybean harvest is underway, with soybean production this summer seen around 10% down on the back of poor rains to 9.7 MMT.
The weather hasn't just been playing silly buggers in India. Mexico, who reportedly lost a significant area of corn and sorghum to drought in the summer, has now been hit by floods after torrential rain lashed the country.
And in the Ukraine, winter plantings are being badly hit by drought. Rainfall in August/September was only 25-50% of normal across much of the country. Warmer than normal temperatures and dry winds have also hit the region. The lack of financial resources and the current low prices for grains are also making agricultural enterprises in the country think twice before planting. One estimate I've seen says that winter rapeseed plantings will be 40% down this year on a combination of all these factors.
The Russian Ag Ministry have capitulated and raised their estimate for this season's grain production to 90 MMT, 17% lower than last season. Russia has a domestic requirement for 77 MMT of grains, according to the Ministry, but with carryover stocks from last season they still expect to export 19 MMT this season they say. They will probably end up with a harvest of around 95 MMT and export 22-23 MMT methinks.
The exchange rate for the single farm payment has been fixed at 90.93 pence, my bezzie mate Nigel Joice emails to inform me. This compares favourably to the rate of 79.03p for 2008, 69.68p for 2007, 67.77p for 2006 and 68.195p in 2005.
Robert Wiseman Dairies say that they will deliver better than expected results for the half year to Oct 3rd. Milk sales volumes are up 10%, largely on the back of sales to the Co-op after DFB went down the pan.
The weather hasn't just been playing silly buggers in India. Mexico, who reportedly lost a significant area of corn and sorghum to drought in the summer, has now been hit by floods after torrential rain lashed the country.
And in the Ukraine, winter plantings are being badly hit by drought. Rainfall in August/September was only 25-50% of normal across much of the country. Warmer than normal temperatures and dry winds have also hit the region. The lack of financial resources and the current low prices for grains are also making agricultural enterprises in the country think twice before planting. One estimate I've seen says that winter rapeseed plantings will be 40% down this year on a combination of all these factors.
The Russian Ag Ministry have capitulated and raised their estimate for this season's grain production to 90 MMT, 17% lower than last season. Russia has a domestic requirement for 77 MMT of grains, according to the Ministry, but with carryover stocks from last season they still expect to export 19 MMT this season they say. They will probably end up with a harvest of around 95 MMT and export 22-23 MMT methinks.
The exchange rate for the single farm payment has been fixed at 90.93 pence, my bezzie mate Nigel Joice emails to inform me. This compares favourably to the rate of 79.03p for 2008, 69.68p for 2007, 67.77p for 2006 and 68.195p in 2005.
Robert Wiseman Dairies say that they will deliver better than expected results for the half year to Oct 3rd. Milk sales volumes are up 10%, largely on the back of sales to the Co-op after DFB went down the pan.
