The price of Ukrainian corn has increased back to above $200/mt, as Chinese buyers resurfaced on demand for ethanol production, while buyers from Egypt were looking to build stocks ahead of Ramadan, according to sources, UNIAN reports.
The price on Ukrainian corn grew to $200.5 per megaton on Tuesday, up $2.75 in day-to-day terms, S&P Global Platts data revealed. It hit a 20-month high at $209 per megaton on 12 March.
According to the sources, two Panamax port FOB Handysize trades were said to have been done this week for April or the second half of that month – loading at $196 per megaton and $199.5 per megaton.
Before that, trading outside of term agreements was last done on 14 March for May at $210 per megaton. High quality corn in Ukraine becomes difficult to source in late April and May, when exporters reach the end of the exporting campaign and focus on new crop sowings.
With China, Egypt and Iran all expected to buy more before the end of the campaign and drought still lingering in Argentina, corn producers in Ukraine could see further upside. Originations with lower values such as Argentina and the United States had become less competitive on bullish data and the reappearance of prompt length in Ukraine.