China to unleash 7 million mt of domestic corn stocks: NGTC
China’s National Grain Trade Centre will release 7 million mt of domestic corn stocks on April 12-13, according to an official announcement released this week.
On April 12, 3.8 million mt of corn will be auctioned in Liaoning, Heilongjiang, Jilin and Inner Mongolia.
On April 13, a further 3.11 million mt will be auctioned in Heilongjiang.
The same four provinces were also singled out in early April when the government announced it would introduce higher subsidies for farmers looking to plant soybeans instead of corn.
Some of the stocks set to be released date back as far as 2013, according to the statement.
Auction prices have been set at a minimum of CNY 1250-1350/mt ($198.26-$214.12) for stocks produced in 2013, CNY 1350-1450/mt for stocks produced in 2014 and CNY 1400-1500/mt for those produced in 2015, with 2,500 storage sites and 200 state-owned companies involved.
Currently, corn prices in northern China are in the CNY 1760-1780 range, approximately $280/mt.