Prices

After a short-term decline at the beginning of the week, Ukrainian corn prices quickly recovered and reached $218–222/t on a DAP-port basis.

The decline in prices at ports is taking place against the backdrop of weak demand from exporters and high competition in key export directions.

Despite stable FOB quotes, the pace of shipments through ports lags behind last year’s.

FOB prices in the ports of Great Odesa demonstrate an almost complete lack of difference between the old and new harvest, and for corn, forward is even more expensive than spot.

The most significant increase will affect grain trucks, the cost of which will increase to 2,500 UAH per day excluding VAT.

Global shipping may face a fuel shortage due to the war in the Middle East.

Prices were supported by the increase in grain prices on a FOB basis, more active demand, restraining sales by farmers, and the weakening of the hryvnia against the dollar.

The increase has been going on for four months: active demand against the background of limited supply forces buyers to compete and raise price tags.

Against the backdrop of weather problems in Brazil and Argentina, importers’ interest in Ukrainian grain is growing.

Prolonged cold weather has complicated auto logistics, farmers are postponing shipments, and the supply shortage is pushing prices up.