Increased foreign corn production finds strong demand
World coarse grain production in 2012/13 is projected to reach 1,284 million tons, up 7 million this month, mostly due to a huge record corn crop reported for China. Global corn production is forecast up 9 million tons to 577 million. China’s corn crop is up 8 million tons to a record 208 million. The entire production increase is projected for use instead of stocks as demand is strong. Statistics Canada published a record estimated corn crop for 2012/13, up 1.5 million tons from USDA’s previous forecast to 13.1 million. World coarse grain ending stocks for 2012/13 are projected down 0.6 million tons this month to 146.5 million. The increase in projected use is slightly larger than the increase in supplies. Global corn trade projected for 2012/13 is raised 1.4 million tons this month to 97.0 million. EU imports are up 1.5 million tons this month to 8.0 million, supported by the strong pace of import licenses.
There was no change in U.S. feed grain balance sheets this month. Prices declined for corn and sorghum, and ranges narrowed for all feed grains.