The Q2 2021 average price of CBOT maize (corn) rose by 12% q-o-q to USD 234/MT driven by dry weather concerns across the US corn belt and in Brazil. The CBOT price corrected swiftly at the end of May, following reports of rapid planting progress and a forecast of rain across the Midwest growing regions. Meanwhile, the average price of Euronext maize increased by 6% q-o-q to EUR 225.7/MT during Apr-Jun, driven by tight domestic supplies and weather concerns across major producing countries.
US maize output is anticipated to rise by 5.7% y-o-y to 380.8m tonnes in 2021/22. Despite the anticipation of higher production, prices have been trending upward during H1 2021 due to dry weather along the US corn belt, across the US Midwest, a key growing maize region. As of the third week of June, the climate was still arid, posing a risk to the planting and development of the 2021/22 crop. The market is expecting the new USDA supply and demand report to be released today, which will probably lead to a further price increase if production is revised down.
From economical to political, all the factors impacting the maize market have been analysed to provide a market outlook for the next three months. Mintec’s market outlooks (schedule) provide insights on factors shaping the market dynamics of various commodities, providing the opportunity for market participants to stay ahead of factors that will impact procurement decisions. Please visit our Mintec Analytics platform to find out more.