CropGPT - Maize - Week 27

CropGPT - Podcast for Soft Commodities

Welcome to the weekly summary of the global Maize market for July 07th 2024. For more information on any aspect of this report, please visit the CropGPT website for far more detailed reporting and analysis.

United States: The maize health across 18 top corn-growing states in the United States has suffered under persistent heatwaves, reflected in declining conditions reported by the United States Department of Agriculture, with only 67 percent of crops rated as good or excellent as of June 30. Pennsylvania, particularly, sees dwindling conditions due to drought, shifting from no drought in April to 58 percent abnormally dry areas by July 2. The short-term forecast from the Climate Prediction Center does offer some hope of average to above-average precipitation for much of the Corn Belt, although northern Minnesota and the Dakotas might remain dry. Expected late-July heat in western parts could further stress the maize.

Mexico: Following a change in government, Mexico sees a shift in corn policy under Julio Berdegue, the new agriculture minister. The focus moves towards maintaining white corn self-sufficiency. Claudia Sheinbaum, the president-elect, aims to halve deforestation related to agriculture. Contrary to the previous administration's goals, the new government will not prioritize reducing yellow corn imports, despite ongoing disputes with the United States over genetically modified corn. Increased maize production is planned, but self-sufficiency in yellow corn remains unattainable within the current term.

Brazil: In Brazil, challenges vary regionally with mixed outcomes for maize harvests. In Mato Grosso, specifically Nova Mutum, yield variability is noted within regions due to uneven rainfall and increased pest attacks, including significant damages by rats. Paraná faces challenges with drought contributing to a projected yield decline of 9 percent from the previous year, with 53 percent of the second maize crop harvested by recent reports. In Goiás, particularly Montividiu, adverse weather conditions and pest issues lead to a 20 to 30 percent yield drop for the second corn crop, compounding financial pressures for farmers facing low grain prices.

Russia: Grain maize sowing progress is adequate in most regions but challenged by below-average soil moisture in southern areas. Unusually cold May conditions delayed maize emergence, and upcoming high temperatures might impact yields negatively, particularly in southern regions like Krasnodarskiy, Stavropolskiy, and Rostovkaya.

Argentina: Fast-paced maize harvest, as reported by the Mato Grosso Institute of Agricultural Economics, shows 41.30 percent of the crop area harvested, surpassing last season's rate. Lower yields in central and northern areas contrast with stable performance in the south. Total projected production is set to rise by 9.50 million tons from the last harvest.

Remember, our CropGPT site contains far more details and reports about the Maize market, including crop health reports, 20 years of weather data, and even pricing data and earning call analysis. This podcast is just a few selected highlights for the week.