The Market Monitor (Agricultural Market Information System) report for October 2020 provide outlook on international markets for wheat, maize, rice and soyabean. Covid-19 pandemic posed significant challenges to domestic and global agriculture markets. As life returning to new normal, international markets also rebound. Efforts to minimize the disruption of supply chain can generate long-term benefits.
Wheat production expected to set new record. In EU, Russia, Ukraine, US and Canada -winter wheat sowing has begun under favourable conditions.
Maize production forecast cut by 1% because of less favourable prospects in Europe. In Brazil, US, Canada, EU, Russia, Ukraine, China harvesting of summer planted maize is wrapping up.
Rice production in 2020 match expectations because of strong demand from India and China and favourable harvesting conditions.
Soyabean production global output would be record high with record yields. Strong demand by China.
New policy developments:
- India approved increase in minimum support price. For wheat price increased by 50 Rs.
- India passed The Farmers Bill and The Essential Commodities bill.
- Phillipines extended the anti-dumping duty imposed on Turkish wheat flour imports.
- Brazil adopted the maximum residue limits for the pesticide glyphosate for GMO maize.
- The European Commission increased import duty for hushed rice.
- Argentina temporary reduced the export tax for soybean to boost export.
- China allocated $58 million to a disaster relief fund to support agriculture production in flood-hit regions.
- Egypt announced the establishment of a commodities exchange for wheat and rice (+some extra crops).
- US announced up to an additional $14 billion for agriculture producers as a part of Coronavirus Food Assistance Program.
Despite coronavirus food supply chain disruption demand for food only increase.
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