In the grain market, the White Maize spot price falls to R3840, while the Jul’24 price drops to R3828 per ton. The Yellow Maize spot price decreases to R3615, with the Jul’24 price falling to R3750 per ton. The soybean spot price rises to R9320, with the May’24 price higher at R8990 per ton. The sunflower spot price falls to R9050, while the May’24 price rises to R8820 per ton. Maize prices have come under significant pressure due to a much better harvest in America, which has forced end-of-season stocks upwards. It now looks more like a record maize harvest in America, which will quickly erase any increases from the last two months. “Demand Destruction” has also taken place to a large extent in the past few years due to higher prices, and markets will now have to maintain lower prices for longer to recover.
Soybean prices have risen due to more purchases from China, causing prices to increase slightly with the dryer weather in Brazil also pushing prices up.
The wheat spot price rises to R5925, with the Dec price currently at R5908 per ton. It seems that wheat has found support at the lower levels, allowing prices to recover a bit in the past week. There is now upward potential, but low global demand and many exports at low prices from Russia and Ukraine will limit any sharp upward movements.
Furthermore, we have seen that the sorghum import parity price rises to R6262 per ton, with dehulled Groundnut from Argentina higher at R36,575 per ton. Grade 1 lucerne prices also rise to R3900 per ton.