According to data from SunSirs, domestic corn prices in October 2024 halted their decline, experienced a slight recovery, and subsequently fluctuated. The average price for Grade 3 yellow corn was 2,205.71 RMB/ton on October 1 and 2,174.29 RMB/ton on October 30, representing a monthly decline of 1.42%.
As October began, corn from the Northeast production region entered the market, leading to a continuous increase in domestic supply. With a seamless transition between old and new crop supplies, corn inventories at ports and deep-processing enterprises were effectively replenished; consequently, these entities lowered their procurement prices, exerting downward pressure on the broader domestic corn market. As more corn from major production areas reached the market—compounded by sufficient inventories at deep-processing plants, the arrival of low-priced imported substitutes, and persistent weakness in downstream demand for corn as animal feed—the market faced pressure from strong supply and weak demand, causing prices to trend downward through mid-October.
The sustained decline in corn prices prompted farmers to withhold stock in hopes of higher prices, leading to a drop in trading volume. In response, ports and deep-processing enterprises raised their procurement prices to replenish stocks, which helped domestic corn prices halt their decline and recover slightly in late October. However, given the overarching market dynamic of strong supply and weak demand, prices remained at relatively low levels, fluctuating within a narrow range following the slight recovery.
Meanwhile, domestic egg prices trended downward in October, falling by 6.53% over the month, while hog prices remained weak, declining by 8.82%. The livestock sector has faced a continued downturn, with deep losses in the hog-farming industry accelerating the reduction of production capacity—a trend that suggests demand for corn as animal feed will remain weak in the near future.
According to the corn analyst at SunSirs, domestic corn prices halted their decline and saw a slight recovery in late October, supported by policy factors and the tendency among farmers to withhold stock in anticipation of better prices. Overall, domestic demand for corn in the feed sector remains sluggish, while demand from the deep-processing sector stays cautious. With continued arrivals of substitute products and strong expectations for a bountiful new-season corn harvest, domestic corn supply is set to remain ample. Under the pressure of robust supply and weak demand, there is little momentum for a recovery in corn prices; consequently, domestic corn prices are expected to continue fluctuating within their current low range throughout November.
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Source: Online/GFMM
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