FPMA Bulletin #6, 12 July 2018

KEY MESSAGES

↗ International prices of wheat and maize fell in June despite generally worsening production prospects. By contrast, in rice markets, higher quotations of Japonica and fragrant rice outweighed declines in Indica rice prices.

↗ In East Africa, prices of grains in the Sudan remained at record highs in June due to concerns that 2018 plantings would be reduced by shortages and high prices of fuel and inputs, as well as a sharp depreciation of the local currency and the removal of subsidies. Similarly, a continuing currency depreciation, coupled with tight supplies and insecurity, contributed to keeping food prices at exceptionally high levels in South Sudan.

↗ In Central America, prices of white maize continued to increase seasonally in June, particularly in Nicaragua, where the ongoing social unrest contributed to push them to near-record highs.

↗ In South America, prices of yellow maize remained stable and well above their year-earlier levels in Argentina and Brazil, despite the ongoing 2018 maize harvests, mainly due to expectations of reduced outputs. Price of wheat continued to increase due to seasonally tight supplies and weakening currencies stimulating exports.