MySheen

Farmers are worried about a bumper harvest in the face of a reduction in storage prices.

Published: 2024-10-06 Author: mysheen
Last Updated: 2024/10/06, The purchase policy of temporary storage corn in Northeast China has been implemented for more than a month and a half. Data from the State Grain Administration show that as of December 10, 31.9 million tons of corn have been purchased in Northeast China, including 5.14 million tons in Inner Mongolia, 690000 tons in Liaoning and 68 tons in Jilin.

The corn purchase policy for temporary storage in northeast China has been implemented for more than a month and a half. According to data from the State Grain Administration, as of December 10, the total amount of corn purchased in northeast China has accumulated 31.9 million tons, including 5.14 million tons in Inner Mongolia, 690000 tons in Liaoning, 6.86 million tons in Jilin and 19.21 million tons in Heilongjiang. The number of temporary storage acquisitions in the current period is significantly lower than that of the previous period, and the pace of temporary storage acquisition slows down.

Under the influence of the temporary storage policy, although there has been a restorative rise in the price of corn, affected by the idea of selling down but not rising, farmers are not active in selling grain. In addition to the northeast region covered by the national collection and storage policy, in other provinces, very few farmers come to sell corn, and some farmers even sell at a premium. The phenomenon of farmers' hesitation to sell has appeared in the two lines of state collection and storage and market sales.

Farmers have trouble with a bumper harvest in the face of a reduction in storage prices

Since 7: 00 in the morning, the grain truck of the central grain reserve warehouse directly under Tongliao in Inner Mongolia has been waiting outside the purchase point early, while Gao Gao, a large grain grower in Junchang Village, Jianhua Town, Kailu County, is still hesitant outside the purchase point. He told the reporter that his family had planted more than 200 mu of corn this year, and because there was more corn, there was not enough room at home to dry, so he thought that when the price was reasonable, he would sell the corn. But after looking around, he found that the current purchase price made him feel uneconomical and wanted to wait.

In Sanlidian Village, Zian Xiang Township, Puyang City, Henan Province, the reporter met Li Wei, a corn grower. This year, local Rain Water is rich, and the 11 mu of corn planted by Li Wei has had a bumper harvest, with a total output of more than 10, 000 jin. In the courtyard of his home, there are two full-stocked corncobs, golden and shining. Li Wei told reporters that this way of storing corn is not ideal. One is that it takes up a lot of space, and the other is that corn is not easy to be ventilated and is prone to mildew. Although he knew there was something wrong with his storage method, he had to admit bad luck because of the current price.

Corn prices remain low, farmers hesitate to sell

Henan Province is not covered by the national corn collection and storage policy, and cannot wait for the state to collect and store prices. in the face of local depressed corn prices, the choice of most corn growers is still to wait and not to sell for the time being.

In Xinxi Township, Henan Province, Wang Junjie, the acquisition boss of corn enterprises, told reporters that the price of corn was OK when it was just harvested this year, with a daily harvest of 50,000 to 60,000 jin and, at its best, more than 100,000 jin. Later, the price continued to be on the low side, and ordinary people stored the corn, and there were fewer people selling corn. Recently, corn prices have risen a little bit, but the collection and sale situation is still not satisfactory. They can only receive 20,000 to 30,000 jin a day.

Wang Junjie: the corn purchased is mainly sold to feed processing enterprises in the county and starch production enterprises outside the county. Everyone wants to be able to rise, but they are not willing to sell.

The cherished sale of corn by farmers all over the country has something to do with today's depressed corn prices. In September this year, the temporary storage price of corn, which has been in operation for seven years, was lowered for the first time to 1 yuan per catty, 0.12-0.13 yuan lower than that of last year. The price of corn on the market has also dropped from more than one yuan last year to 70 or 80 cents per jin. However, from the current domestic and foreign corn markets, a large number of corn is stored in the national treasury, coupled with the low price of foreign corn, the pattern of supply exceeds demand appears.

Forecast: it is unlikely that corn prices will rise in the later period.

Zhou Zhiwen, director of the Grain Bureau of Tongliao City, Inner Mongolia: in recent years, due to the impact of the economic downturn at home and abroad, most processing enterprises are in a state of suspension or current production, and the market demand is low. The contradiction that supply exceeds demand in the market is very prominent, coupled with the very low price of corn abroad. Therefore, at present, it is unlikely that corn prices will rise.

Farmers wait and see, corn hoarding leads to lower prices

The reporter found in the interview that at present, the price of dry grain in Shandong, Henan, Hebei, Xinjiang and other places is less than 90 cents per jin. Wang Junjie, a local buyer, analyzed that the main reason is that corn is unsalable this year and other reasons. When the price of corn was at a low point this year, it was only 1.7 yuan per kilogram, and farmers waited and waited and were reluctant to sell it, which led to the hoarding of corn.

Suggestion: remember to keep the price of grain and beware of mildew in the later stage.

According to Zhou Zhiwen's analysis, the four provinces and regions in Northeast China are holding the national temporary storage policy at the bottom, otherwise the price will be even lower, and after the temporary storage acquisition is completed next year, corn prices may still have the risk of falling. The price of corn in Henan, Shandong and other areas will not rise by a large margin, affected by the pattern of supply and demand. This month is the peak of corn market, there is still a downward risk in the spot market, seize the opportunity to sell grain, remember to keep the price of grain, and beware of mildew in the later stage.

Zhou Zhiwen: without storage conditions, we should pay close attention to the sale of grain to prevent mildew, cause further losses, or bear the risk of not selling at a later stage. When there are conditions for storing grain, the grain can be dried and dry grain can be sold, which can also increase some income. In terms of current moisture, selling dry grain can sell about 3 cents more per jin than selling wet grain directly.

The national temporary reserve policy is at the bottom, otherwise the price will be even lower.

People in the industry believe that the state's reduction of corn temporary storage and purchase prices is also hoping to send a signal to change farmers' long-term state temporary storage and market purchase, and at the same time guide farmers who operate on a large scale to follow the law of market development to determine the planting area and variety. Shen Hongyuan, an analyst at Zhengzhou Grain Wholesale Market in Henan Province, said that the price of corn on the market will not change much in the near future.

 
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