Ukrainian corn exports focused on markets with short logistics

Ukrainian corn exports for the first week of May have a clear geographical concentration. Turkey continues to take almost a third of the volume, followed by the EU and Mediterranean countries. Such a structure preserves for Ukraine the role of a supplier to near-term markets with short logistics, while competition with Argentina and Brazil is felt more strongly on long-distance routes.

This is reported by analysts at Spike Brokers.

It is noted that the main export destinations were corn:

• Turkey – 163.2 thousand tons;
• Netherlands – 70.6 thousand tons;
• Belgium – 58.2 thousand tons;
• Italy – 53.9 thousand tons;
• Israel – 41.4 thousand tons.

It is also reported that the corn complex ended the week with a stock market correction after reaching seasonal highs. On the CBOT, the July contract fell to 471.25 c/bu, MATIF for June sank to €211.50. Part of the premium was removed due to a decrease in the energy factor, a strong sowing rate in the USA and profit-taking after the growth of the long position of funds.

The Black Sea physical market did not repeat the exchange movement. FOB Ukraine for May-June rose to $240, and CPT Odesa – to $227. Such a gap between the exchange and the physical is explained by the restrained offer of sellers and the preservation of demand from Turkey and European buyers.

Tags: export, Ukraine, corn