COMMENTARY 5/21/14

WHAT YOU SHOULD DO BEFORE PLANTING:

WE STRONGLY RECOMMEND that producers verify that their seed varieties ARE approved for MAJOR EXPORT MARKETS.  The STL River markets ARE planning to test loads delivered.  They RESERVE the right to reject loads with unapproved traits.  If you have seed that is NOT APPROVED FOR MAJOR EXPORT MARKETS, we encourage you to check with your seed representative to exchange for seed that IS APPROVED for GLOBAL USE.

**ADDITIONAL DELIVERY RESTRICTIONS!**

BUNGE will not accept delivery of produced from the following seed:

CORN: Agrisure Viptera MIR 162 (Syngenta), Bayer/Genective -Event VCO-01981-5, Agrisure Duracade – Event 5307 (Syngenta), Stine Maize – Event HCEM485, DuPont/Pioneer – Event 4114-3, Monsanto – MON 87427

SOYBEAN: Vistive Gold – MON 87705 (Monsanto), Soymega – MON 87769 (Monsanto), Plenish (DuPont/Pioneer), Bayer – Event FG72

WHAT YOU SHOULD KNOW: 

China’s rejections of a banned variety of genetically modified U.S. corn have now cost the U.S. agriculture industry up to $2.9 billion, a grain group said, on losses from trade disruptions. The National Grain and Feed Association (NGFA) estimated in a report, that rejections of shipments containing Syngenta AG’s Agrisure Viptera corn resulted in losses of at least $1 billion.  This is based on economic analysis that included data supplied by top global grain exporters. The largest estimates of losses are based on the loss in corn price, which  translated to producer losses. – JSA

 

ATTN SPECIALTY CORN GROWERS:

Ask your seed company what/how they are testing the NGMO purity on the seed you are going to plant.  Ensure what they are selling you IS pure (by lab testing your seed) BEFORE planting .  There are some contaminated seed issues out there.

 

COMMENTARY

CORN

UP 1 

China’s Imports of U.S. Corn Plummet as Curbs on GM Seed Tighten

May 21 (Bloomberg) –China’s corn shipments from the U.S. plunged to the lowest level in seven months after the Asian country continued curbs against supplies containing a genetically modified variety it hasn’t approved.  A total of 8,568 metric tons of U.S. corn was cleared by customs in April, compared with 12,023 tons in March and as much as 787,124 tons in November, according to government data released today. Total imports were 93,123 tons, with Ukraine supplying more than half, the data show.  Chinese corn buyers turned away from the U.S., the biggest supplier, to alternative sources to avoid rejections based on the presence of MIR 162, an insect-resistant genetic trait, owned by Syngenta AG. China is the second biggest buyer.  Syngenta’s application for approval “is going through due procedure in accordance with China’s regulations,” Lei Liugong, a spokesman at the farm ministry, told reporters in Beijing yesterday.  Port authorities found and rejected 1.12 million tons of U.S. corn and corn-based product imports containing MIR 162 between October and April 21, according to the quarantine watchdog.  As of May 8, there are still 586,800 tons of sales to China that haven’t been delivered, according to the U.S. Department of Agriculture Accumulative imports in October to April were 2.9 million tons, customs data show.

St Louis river levels easing  at +19.1 ft today and forecast to be 17.8 by 5/26.

Very little news.  Favorable planting weather  continues through the weekend and will help the Northern states.  Thursday will have Export Sales out and expected to be 13 – 21 mill old crop.   Monday’s Export Inspections were 41.7.  Monday’s planting report was just shy of 75% planted at 73%, 59% LW, 65% LY, and 76% AVG.  (some estimates on plantings were as high as 85%.)  The State of IL is 84% planted this week, 78%LW, 66%LY, and 73% AVG.      For the US, Emergence is 34% this week, 18%LW, 17%LY, and 42% AVG.  The State of IL is Emerged 60% this week, 36%LW, 14% LY, and45% AVG.  The week’s weather forecast looks warmer and drier!

 

BEANS

OLD UP 35   NEW UP 21

Funds were buying again today.  More old crop volatility.    Export Sales are expected to be -6 to +4.  Brazil is said to have shipped 14.4mbu of ysb to the US with another 11 million still to be nominated.   Monday’s Export Inspections were 2 mill higher than what is needed per week at 6.2.  Monday’s Plantings report was at the low end of expectations at 33% planted this week, 20% LW, 21%LY, and 38% AVG.  The State of IL is 36%planted this week, 26% LW, 16% LY, and 32% AVG.   For the US, Emergence this week is 9%, 3%LY, and 11% AVG.  South American beans are still coming UP the MISS.  We may still need MORE SA beans to take care of our domestic needs.

WHEAT

DOWN 6

The prospects of rains in the Southern Plains ease some of the immediate concerns, especially in the Volga Valley area.  The EU wheat crop is expected to reach a six year high of 137.5 – Reuters.  Some parts of Russia and Kazakhstan were dry and hot through last weekend and are expected to be similar for the balance of this week.

Monday’s Export Inspections were 20.3 which was in range of 19 – 23.   US Spring Wheat is 49%planted this week, 34% LW, 41% LY, and68% AVG.  Spring Wheat Emergence is 24% this week, 12% LW, 30% LY, and40% AVG.  Winter Wheat headed is 57%this week, 44% LW, 41% LY, and58% AVG.  IL Wheat is 50% headed this week, 16% LW, 44%LY, and 67% AVG.  The BIG ONE:  WINTER WHEAT CONDIDTIONS: 29% G/E this week, 30% LW, and 31% LY.  Market was expecting recent rains to boost ratings.  Good/Excellent by state, IL is 62% this week, and 63% LW.  Texas is 11% G/E this week, and 11% LW.  OK is 5% G/E this week and 6%LW. KS is 12% G/E this week and 13% LW.  Continue to keep an eye peeled on the Black Sea region as turmoil continues with Ukraine and Russia.

ESTL CITY ORDINANCE MAX LOAD WEIGHT 10,000 lbs ~POSTPONED UNIL APRIL 30th.  ~Still reportedly “open for business as usual”