EU Grains Mostly Higher In Choppy Trade
08/12/14 -- EU grains finished a choppy two-sided start to the week mostly higher.
At the close Jan 15 London wheat was up GBP1.10/tonne to GBP130.10/tonne, Jan 15 Paris wheat was EUR1.50/tonne higher at EUR189.00/tonne, Jan 15 Paris corn was EUR0.75/tonne firmer at EUR156.50/tonne, whilst Feb 15 Paris rapeseed ended EUR2.75/tonne higher at EUR343.00/tonne.
Fresh news was relatively scarce to start the week, with the trade already developing a holiday feel.
Strategie Grains estimated EU-28 rapeseed plantings at 6.5 million hectares, a 3% fall on last year. They also see yields dropping in 2015, down 8% to an average 3.3 MT/ha.
That would take production 10% lower next year to 21.6 MMT, they calculate. That's lower than the 22.5 MMT forecast by Informa last week, or Lanworth's 22.3 MMT estimate.
It does however tie in with thoughts of lower plantings across Europe due to farmer dissatisfaction with current prices, and also the new EU rules on neonicotnoids.
APK Inform said that grain shipments via Ukraine's seaports totalled 649.4 TMT last week, up from 534.4 TMT for the week prior. Corn accounted for 539.3 TMT of that volume, or 83%, which is similar to 85% the previous week, continuing with the recent trend towards majoring on corn. Wheat shipments were only 8% of the weekly total, down from 15% the week before.
Ukraine's Ag Ministry said that Ukraine had exported 15.85 MMT of grains between July 1-Dec 2nd, up 10% from a year ago.
The Ukraine Ag Ministry also said that 95% of winter planted crops are now emerged, and that 82% are in good to satisfactory condition and 18% week/thinned.
Russia said that it had exported 18.267 MMT of grains so far this season, a rise of 31% compared to a year ago. Wheat accounts for 80% of that volume (14.6 MMT).
Russian growers are said to be emerging as more active sellers, despite the fact that the rouble has yet to stabilise, as some need the cash to pay bills before the end of the year.
Congestion and adverse weather conditions at the leading Russian grain export port of Novorossiisk is said to be delaying some shipments from the region.
Morocco's 2014/15 grain imports are said to be up 80% on a year ago (Jun 1-Oct 31) at 2.2 MMT. That total includes 750 TMT of wheat, 220 TMT each of durum and barley and over 1 MMT of corn. The leading wheat suppliers are Ukraine (260 TMT), France (210 TMT), Russia (120 TMT) and Germany (80 TMT). Argentina (580 TMT) is the leading corn supplier, followed by Brazil (230 TMT) and the US (150 TMT).
