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Corn Products China News 1307 - new market research report published
Corn Products China News 1307 - a new market research report on 2014-04-24 06:51:03
In July 2013, domestic market price of corn continues to surge and hit USD394/t on July 11, the highest point in 2013, which can be attributed to many reasons. At first, a large amount of corn had been reserved by China Grain Reserves Corporation (Sinograin), with less turnover of corn in the domestic market. Secondly, On July 3, 2013, NDRC released a notice that the temporary reserve price of corn would be further increased in 2013/2014.

Thirdly, as the negative effect of the H7N9 virus fades away, the domestic consumption of live stock has begun to recover, which will increase the demand for corn. Besides, owing to the huge increase in the market price of wheat, it´s estimated that the consumption of wheat which replaces corn as feed will decline sharply in 2013, which leads to the increasing demand for corn and supports the corn price increase.

As the price of corn is starting to increase and the negative impact of H7N9 fading away, the price of some corn products also stopped declining and even witnessed rebound in July. However, due to the lower price in previous months, some listed companies said that their performance declined in H1 2013. We will present detailed report in our next issue after the listed companies releasing their semi-annual reports.

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