SOUTH AFRICA TO REMAIN NET CORN EXPORTER
South Africa is anticipated to remain a net exporter of corn in the 2023-24 marketing year following adequate rainfall in most of the corn-production areas in the country’s eastern region. The FAS projects South Africa will harvest 15.8 million tonnes of corn in the marketing year (May 2024 to April 2025) and export 3 million tonnes, down from 17 million tonnes produced and 3.8 million tonnes exported in 2022-23. South Africa will continue exporting corn to countries where it has a competitive price advantage, especially Zimbabwe. The FAS estimates that Zimbabwe will have to import at least 450,000 tonnes of corn in 2023-24 after production fell short to meet local demand. Stock levels are expected to fall back to levels of about 2.1 million tonnes in 2023-24, equaling about eight weeks of commercial utilization.
(Link: WorldGrain)
DROUGHT LOWERS CANADA’S 2023-24 WHEAT PRODUCTION
Despite a larger planted area, Canada’s wheat production in 2023-24 dropped 7% from the previous year to 31.95 million tonnes, according to a report from FAS. Severely low soil moisture in Alberta and Saskatchewan reduced yields, the FAS said. Total wheat milled is expected to be in line with recent years, based on steady supply and demand. Animal feed demand is forecast to be slightly lower than the previous year. Even with strong exports in the first half of 2023-24, total exports are expected to drop 9% year-over-year in lower exportable supplies, the FAS said. Exports of non-durum wheat increased 11% over the previous year.
China was the largest buyer of non-durum Canadian wheat in the first four months of 2023-24, purchasing 944,400 tonnes, 31% less than the same time frame the previous year. Indonesia was the second largest buyer of non-durum wheat, purchasing 700,600 tonnes, a 48% increase over the previous year. Canada and Saudi Arabia restored diplomatic ties in May 2023. This led to a rebound in exports of durum wheat to Saudi Arabia. Exports of wheat to India, across the Arabian Sea from Saudi Arabia, also increased in 2023. Imports have increased 26% over the same period in the previous year on lower domestic supplies. Nearly 100% of durum and non-durum wheat imports year-to-date has come from the United States, the FAS said.
(Link: WorldGrain)
