SUBSCRIBER NOTE: Open consultation on methodology for Global Corn

Fastmarkets Agriculture is inviting feedback from the industry on the pricing methodologies for Global Corn as part of its announced annual methodology review process.

This consultation, which is open until November 6, 2023, seeks to ensure that our methodologies continue to reflect the physical market under indexation, in compliance with the International Organization of Securities Commissions (IOSCO) principles for Price Reporting Agencies (PRAs). This includes all elements of our pricing process, our price specifications, and publication frequency.

You can find the current methodology for Global Corn here.

As part of this consultation, following discussion with market participants, Fastmarkets Agriculture would specifically like to propose the following material changes to the methodology:

1.      To add Brazil into the calculation for Corn CIF China;

2.      To add CVB into the calculation for Corn CIF Korea and Corn CIF Vietnam;

3.      To add freight route CVB to Korea and CVB to Vietnam to be used in these calculations;

4.      To add a freight route for freight Constanta to West Med to reflect the difference between Ukraine-Spain and CVB-Spain freight for corn and wheat markets.

These changes would take effect from Jan 1, 2024.

Please send responses in writing, preferably in electronic format, to the following address: pricing.ags@fastmarkets.com.

Please add the respective subject heading “Global Corn 2023.”

Please specify whether your response is confidential. Opinions offered in confidential responses may be referenced but will not be attributed in any way.

Fastmarkets will publish the outcome of this methodology review by November 30, 2023, including a summary of the feedback with the exception of those marked as confidential.

Any proposals to make material changes, discontinue or launch prices will involve a separate market consultation, the length of which will depend on how substantial the change is.