WHEAT

- Jan 7 - Japan bought 131,031 MT of food wheat for Feb-Mar shipment:

  • 12,350 MT of western white US wheat
  • 22,730 MT of hard red winter US wheat
  • 63,261 MT of Canadian western red spring wheat
  • 32,690 MT of Australian standard white

- Jan 5 - The lowest offer in Ethiopia's tender for 70,000 MT of wheat came in at 217.5 $/mt C&F Djibouti rising to 236.5 $/mt if extra ship-unloading costs are included, no purchase was made and negotiations continue

- Egypt is considering lowering the level of the fungus ergot it allows in wheat imports from 0.05% to 0.00%. This new requirement - for a complete absence of ergot, a common fungus found in grains - could disrupt the country's supply chain for bread. GASC said that cargo of French wheat was rejected late last month at an Egyptian port for having marginal traces of ergot

- Egypt's GASC said letters of credit for the three delayed French wheat shipments will be issued today, with delays due to administrative issues only

- Informa Economics raised its estimate of Argentine wheat production by 2 MMT to 11.5 MMT

- Informa Economics lowered its outlook for India's 2016/17 wheat crop to 85 MMT from 89 MMT last month

- FAO's Cereal Price Index declined 1.3% in December from its November value, due to intensifying export competition among maize producers and expectations of more wheat supplies entering world markets after Argentina removed export taxes. The sub-index, which includes rice, shed 15.4% on average during 2015 from the previous year

CORN

- South Africa may need to import as much as 5 MMT of corn this year, roughly half of its requirements, because of its worst drought in three decades

- Informa Economics raised its estimate of Argentina's 2015/16 corn production to 22 MMT from previous forecast of 21 MMT

- Informa Economics left unchanged its 2015/16 Brazilian corn production forecast at 81.3 MMT

- US Ethanol production for the week ended Jan 1 rose by 4,000 barrels to 996,000 barrels per day, it is up 5% from last year's level of 949,000 bpd. Stocks climbed by 933,000 barrels to 21.099 million barrels, and up 12% vs. 18.845 million barrels a year ago

SOYBEAN

- Informa Economics left its forecasts of Argentina's 2015/16 soybean crop unchanged at 58.5 MMT

- Informa Economics left its forecasts of 2015/16 Brazilian soybean crop unchanged at 101.4 MMT

- Soy harvesting has started in Brazil's top two growing states Mato Grosso and Parana, with farmers concerned over irregular rains causing damage in the center-west soy belt

- FAO's Vegetable Oil Price Index rose 2.1% in December, pushed up by uncertainties regarding Brazil's soybean crop, but over 2015 as a whole was 19% below the previous year

- Palm oil stocks in Malaysia likely dropped in December, their first monthly decline since June 2015, as lower output due to a crop-damaging El Nino weather pattern offset a weakness in exports