World: Corn market weekly review on December 10

Last week, arguably the most significant agricultural news included a rain front affecting key agricultural areas in Argentina, with dry conditions expected to negatively impact corn development. In contrast, the weather outlook in Brazil remains generally favorable for crop growth, with few issues reported. European corn futures have reached a plateau around €205/t, supported by strong export data and anticipated USDA cuts to domestic ending stocks due to increased ethanol and export demand. The US is projected to harvest the third largest corn crop in history, with high yields and lower impurities. In Canada, corn production is expected to marginally increase to 15.34 million tonnes in 2024. Meanwhile, corn exports from Brazil have seen a significant decrease, with Egypt, Vietnam, and Iran being the primary importers. Ukraine has seen a slight increase in its corn production forecast and a notable rise in its corn exports. The EU-Mercosur trade agreement negotiations have concluded after 25 years, but it is believed that the short-term impact on South American agricultural and biofuel exports to Europe will be limited. However, the potential influx of cheap products from Mercosur countries has raised concerns among European grain producers about market saturation and the financial well-being of EU farmers.