Global Ag News for June 29.22

HEADLINES TODAY

Wheat prices overnight are up 17 3/4 in SRW, up 17 1/2 in HRW, up 11 1/4 in HRS; Corn is up 1/4; Soybeans up 6; Soymeal up $0.48; Soyoil down 0.16.

For the week so far wheat prices are up 6 in SRW, up 1/2 in HRW, down 24 1/2 in HRS; Corn is down 15 1/4; Soybeans up 36 3/4; Soymeal up $1.16; Soyoil up 1.50. For the month to date wheat prices are down 143 3/4 in SRW, down 164 1/4 in HRW, down 195 1/2 in HRS; Corn is down 52; Soybeans down 41; Soymeal up $3.00; Soyoil down 8.12.

Year-To-Date nearby futures are up 20% in SRW, up 24% in HRW, up 6% in HRS; Corn is up 28%; Soybeans up 25%; Soymeal up 12%; Soyoil up 27%.

Chinese Ag futures (SEP 22) Soybeans up 25 yuan; Soymeal up 21; Soyoil up 58; Palm oil up 76; Corn up 6 — Malaysian palm oil prices overnight were down 76 ringgit (-1.52%) at 4913.

There were no changes in registrations. Registration total: 1,010 SRW Wheat contracts; 0 Oats; 0 Corn; 0 Soybeans; 98 Soyoil; 0 Soymeal; 66 HRW Wheat.

Preliminary changes in futures Open Interest as of June 28 were: SRW Wheat down 9,852 contracts, HRW Wheat down 4,185, Corn down 29,686, Soybeans down 12,266, Soymeal down 4,313, Soyoil down 7,871.

Northern Plains Forecast: Isolated showers through Saturday. Temperatures near to above normal Wednesday, near to below normal Thursday-Saturday. Outlook: Isolated showers Sunday-Thursday. Temperatures near to below normal Sunday, near to above normal Monday-Thursday.

Central/Southern Plains Forecast: Mostly dry Wednesday-Thursday. Isolated showers north and southeast Friday-Saturday. Temperatures near to above normal north and near to below normal south Wednesday, near to above normal Thursday-Saturday. Outlook: Isolated showers Sunday-Thursday, mostly north. Temperatures near to above normal Sunday-Thursday.

Western Midwest Forecast: Isolated showers north through Thursday. Isolated showers Friday-Saturday. Temperatures near to above normal Wednesday-Saturday.

Eastern Midwest Forecast: Mostly dry Wednesday. Isolated showers Thursday-Saturday. Temperatures near to below normal Tuesday, above normal Wednesday-Saturday. Outlook: Isolated showers Sunday-Thursday. Temperatures near to above normal Sunday-Thursday.

Canadian Prairies Forecast:  A system will move through last tonight and Wednesday with more showers and potential for more systems over the weekend and next week. Conditions will continue to be mixed for a while, favoring the west over the east, including with temperatures.

 Black Sea Forecast: The low that moved south toward Turkey this week, with showers becoming much more isolated, especially in Russia where dryness is becoming more of a concern. As the low retreats, the heat will increase in Ukraine, causing more concerns for corn and sunflowers. The weather will be more favorable for wheat harvest, however.

The player sheet for 6/28 had funds: net buyers of 10,500, buyers of 11,000, buyers of 13,000, buyers of 4,500, and  buyers of 4,500.

TENDERS

• WHEAT PURCHASE: Jordan’s state grains buyer purchased about 60,000 tonnes of hard milling wheat to be sourced from optional origins in a tender which closed on Tuesday
• FAILED SOYMEAL TENDER: Leading South Korean animal feed maker Nonghyup Feed Inc. (NOFI) is believed to have rejected all offers and made no purchase in a tender to purchase up to 120,000 tonnes of soymeal which closed on Tuesday
• WHEAT TENDER UPDATE: Egypt’s state grains buyer, the General Authority for Supply Commodities (GASC), issued a clarification for the shipment period of its June 29 international wheat tender. GASC is seeking an unspecified quantity of wheat in the tender for shipment during August and/or September and/or October. GASC said each month in the shipment period would be divided into two periods from the 1st to the 15th of the month and from the 16th until the end of the month.
• WHEAT PURCHASE: The Taiwan Flour Millers’ Association purchased an estimated 40,000 tonnes of milling wheat to be sourced from the United States in a tender which closed on Wednesday
• CORN TENDER: South Korea’s Major Feedmill Group (MFG) has issued an international tender to purchase up to 140,000 tonnes of animal feed corn
• WHEAT PURCHASE UPDATE: A wheat purchase by Algeria’s state grains agency OAIC in an import tender last week totalled about 740,000 tonnes, more than previously estimated

PENDING TENDERS

• CORN TENDER: Taiwan’s MFIG purchasing group issued an international tender to buy up to 65,000 tonnes of animal feed corn which can be sourced from the United States, Brazil, Argentina or South Africa
• WHEAT TENDER: A government agency in Pakistan issued an international tender to purchase and import 500,000 tonnes of milling wheat
• WHEAT TENDER: Bangladesh’s state grains buyer issued an international tender to purchase 50,000 tonnes of milling wheat

Brazil Soy Exports Seen Reaching 10.154 mln T In June – Anec

• BRAZIL SOY EXPORTS SEEN REACHING 10.154 MILLION TNS IN JUNE VERSUS 10.795 MILLION TNS FORECAST IN PREVIOUS WEEK – ANEC
• BRAZIL SOYMEAL EXPORTS SEEN REACHING 2.209 MILLION TNS IN JUNE VERSUS 2.271 MILLION TNS FORECAST IN PREVIOUS WEEK – ANEC
• BRAZIL CORN EXPORTS SEEN REACHING 1.683 MILLION TNS IN JUNE VERSUS 1.758 MILLION TNS FORECAST IN PREVIOUS WEEK – ANEC

Ukraine grain exports fall 36.5% to 1.26 mln T so far in June Y/Y – ministry

• UKRAINE GRAIN EXPORTS FALL 36.5% TO 1.26 MILLION T IN JUNE 1-29 Y/Y – AGRICULTURE MINISTRY
• UKRAINE WHEAT EXPORTS FALL 75.5% TO 122,000 T IN JUNE 1-29 Y/Y – MINISTRY
• UKRAINE CORN EXPORTS FALL 21.4% TO 1.09 MILLION T IN JUNE 1-29 Y/Y – MINISTRY

US Wheat Production to Remain Uneven, Challenges Ahead: NAWG

Uneven harvest paces, adverse weather and different planting dates are all adding to uneven yield results and uncertainty regarding this year’s wheat crops in the US, according to Chandler Goule, Chief Executive Officer of the National Association of Wheat Growers.

• Harvest for winter wheat is making its way to the North until end of July. Some producing states are showing worse results than initially expected and others are performing better, according to Goule
  • Harvest for winter wheat was 41% done this week, compared to 31% last year and 5-year average of 35%
• For spring wheat, the western part of the country had better planting pace, but heading is still far behind previous years, especially in Minn., said Goule. The state had only 1% of crops heading, compared to 81% a year ago
  • Slower crop development can subject crops in the North Plains to early frosts
• Cold weather on the West Coast could impact yields for the spring crop. “We need a period of warm temperatures and no rains,” said Goule
• May rains in Kansas could have helped overall yields, especially for crops that were planted early

EU 2021/22 soybean imports at 14.39 mln T by June 26, rapeseed 5.27 mln T

European Union soybean imports in the 2021/22 season that started last July had reached 14.39 million tonnes by June 26, compared with 15.11 million tonnes by the same week in 2020/21, data published by the European Commission on Tuesday showed.

EU rapeseed imports so far in 2021/22 had reached 5.27 million tonnes, compared with 6.51 million tonnes a year earlier.

Soymeal imports so far in 2021/22 were at 16.16 million tonnes against 16.97 million a year ago, while palm oil imports stood at 4.76 million tonnes versus 5.37 million.

EU sunflower oil imports, most of which usually come from Ukraine, were at 1.91 million tonnes, against 1.71 million a year ago, the data showed.

EU Soft-Wheat Exports Rise 6% Y/y as 2021-22 Season Nears End

Soft-wheat shipments during the season that began July 1 totaled 27.1m tons as of June 26, versus 25.6m tons in a similar period a year earlier, the European Commission said Tuesday on its website.

• NOTE: Figures for the prior season include trade for the UK until Dec. 31, 2020, when the country departed the EU customs union
• Top soft-wheat destinations are Algeria (4.82m tons), Egypt (2.71m tons) and Nigeria (2.21m tons)
• EU barley exports at 6.85m tons, versus 7.34m tons a year earlier
• EU corn imports at 16.2m tons, versus 15m tons a year earlier

Manitoba Says 700,000 Acres Unseeded as Heavy Rain Hits Crops

The unseeded acreage estimate is just under 700,000 acres, the province’s agriculture ministry says Monday in a report.

• 150,000 acres were planted after the June 20 crop insurance deadline, mostly in southwestern areas
• Severe weather and heavy rains have damaged crops, notably in southwest and northwestern regions where baseball-sized hail damaged crops
• Continually wet soils have slowed seeding and spraying progress
• Ag retailers are dealing with herbicide shortages and short-season crop seed
• 93% of crops sown across the province, trailing five-year average of 100%
• Canola seeding completion estimated at 85% to 95%

MGEX Spring Wheat Stocks Down 28.3% From Year Ago: June 26

Stocks of hard spring wheat stored in Minnesota and Wisconsin warehouses fell to 14.521m bushels in the week ending June 26, according to the Minneapolis Grain Exchange’s weekly report.

• Stockpiles fell by 264k bu from the previous week
• Stockpiles in Duluth/Superior warehouses down 317k bu

Iraq procures more than two mln tonnes of local wheat so far -state news agency

Iraq has procured more than two million tonnes of local wheat during the current harvest season so far, Iraq’s state news agency (INA) reported on Tuesday, citing a Trade Ministry official.

Earlier this month, the Trade Ministry’s spokesman said the country needs 3 million tonnes for strategic reserves.

Russia to Update Grain, Sunflower Oil Export Tax Formula: IFX

Russia plans to calculate export duties in rubles to reduce effect of exchange rates, Interfax news service reports, citing Economy Ministry.

Philippines May Buy More Rice as Yields Drop on Fertilizer Cost

The Philippines may need to increase rice imports this year as local harvest decline due to more expensive fertilizer, its outgoing agriculture chief said.

“We are hoping that the new administration will decide soon on whether to import more. We still have time to secure lower-priced rice,” Secretary William Dar said in a briefing. President-elect Ferdinand Marcos Jr. will head the agriculture department from June 30.

The Southeast Asian nation may have to buy more than the 2 million metric tons it earlier expected to import this year as local harvest may drop by as much as 842,000 metric tons, Dar said. The government must also release additional fertilizer subsidy by July when planting season begins, Dar said, adding Marcos must boost the rice buffer to the equivalent of 60 days of consumption from the current 15 days.

It targets to produce 20.4 million metric tons of unmilled rice, but output may drop to the 2020 level of 19.3 million metric tons, Dar said.