By KYIV. Dec 6 (Interfax-Ukraine) – Indicative offer prices for feed corn delivered from Ukrainian deep-water ports on FOB terms (delivery of goods before loading on board a ship) decreased by $5/tonne, to $255-275/tonne over the past week, according to the website of APK-Inform.
Pressure on prices was exerted by the saturation of the corn market and high competition from the United States and Brazil, a decrease in overall import demand (including against the backdrop of macroeconomic factors), as well as a decrease in the number of ships calling at the ports of Odesa through the grain corridor.
"Real offers continue to come at prices below market prices, and importers insist on an ever greater discount. Further delays in inspections of ships by Russian inspectors of the Joint Coordination Center (JCC), which lead to an increase in the queue and, accordingly, a decrease in the number of ship calls in Odesa ports and also increase the cost of demurrage do not add optimism," the agency quotes its head of the department of grain and oilseeds markets Hanna Tanska.
According to her, the demand of importers for Ukrainian corn exported by sea remained low, despite the prolongation of the Istanbul grain agreements, and port capacities are full due to the prevalence of supply over demand and complicated land and sea logistics. However, grain terminals resumed their work after the blackout and continue to adapt to new realities (in particular, periodic power outages).
