Attention is turning toward the Northern Hemisphere now that record soybean crops are all but assured in South America. Brazilian consultant Pedro Djenka says the continent’s combined production will exceed 6 billion bushels. The general strike by grain workers in parts of Argentina is business as usual, he notes. “Strikes are a normal part of the season. The industry has learned to live with it.” Brazil is expected to export 14 MMT of beans in March-April alone.
Argentina remains the world’s low-price corn exporter, at $4.30/bu., against $4.40 at the U.S. Gulf, according to Djenka. It also is the low-price soybean exporter at $10.05 versus $10.50 from the U.S. France has stepped back in as the low-price wheat seller, at $5.50, while U.S. wheat is $6/bu.
The Russian government announced a $4.10 price for new-crop wheat, higher than expected, and “this probably indicates it will not extend the wheat export tariff.”
Bottom line: There is still steep competition in global markets.
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