Favorable Weather Worldwide and Decreased Precipitation in Ukraine Pressure Grain Prices
The current favorable weather in major grain and oilseed exporting countries, along with forecasts of reduced precipitation in Ukraine, is creating additional pressure on global grain and oilseed prices in the coming weeks.
This is reported by AgroReview
Climate Conditions in Leading Exporting Countries
In the United States, predominantly warm weather with periodic rainfall has established this week. Although the rains have somewhat delayed harvesting, they have simultaneously improved conditions for sowing and the development of winter crops. In the coming days, dry and warm weather is expected, which will facilitate the acceleration of soybean harvesting and a record corn harvest without significant losses.
In Brazil, seasonal rains have already started in the southern and central regions, allowing early corn plantings to germinate actively, while soybean sowing is gaining momentum. Over the next 7–10 days, meteorologists forecast intense precipitation, which will positively affect the development of crops but will also continue to pressure soybean and corn prices. Maintaining favorable weather will enable farmers to implement plans to increase sowing areas and enhance yield potential.
In Argentina, the soils currently have sufficient moisture levels to start soybean sowing, and conditions for corn germination are assessed as positive. An increase in temperature and periodic rains are expected, which will promote the activation of fieldwork.
Situation in Ukraine and Other Regions
In Ukraine, prolonged rainfall this week is slowing down the harvesting of sunflower and soybean, and in the western regions, it is also reducing crop quality and delaying winter wheat sowing. In the eastern part of the country, the situation is different: due to a lack of precipitation, dryness is observed, which is also hindering the sowing campaign.
“Favorable conditions for completing the harvest in the Northern Hemisphere and the start of the sowing campaign in South America are creating additional pressure on grain and oilseed quotations in the coming weeks.”
In Southeastern Europe, heavy rains this week have helped moisture accumulation for winter crops. At the same time, they are temporarily delaying the harvesting of corn and sunflower. Warmer and drier weather is expected from next week, which will allow for the acceleration of fieldwork.
In the Russian Federation, the harvesting of spring wheat and a record oilseed harvest is nearing completion. Winter sowing in the southwestern regions is proceeding under good conditions, and the next rains, as forecasted, will allow for an increase in work pace.
Australia is currently experiencing a phase of drier weather. In several regions where winter wheat and canola are grown, there is a struggle against drought, while in other areas, conditions remain acceptable. However, the country is in urgent need of stable rainfall, as crops are entering a critical grain filling phase, and meteorological forecasts do not promise sufficient moisture in the near future.
In China, weather conditions are favorable for harvesting corn and soybeans in the northeast, while regular rains in the central regions provide favorable conditions for sowing and germination of winter wheat and canola.