About The Market Prices

[farmerapache]

hi guys,on what website can i see the dayly marketprices from sweetcorn,animalcorn etc...here

in thailand,the price what we get for our corn that we sell.

we grow sweetcorn and animalcorn but i want to sell it direct to tallatthai instead of bringing

in to these chinese companies here like all thai farmers do because i think they make the most profit

on our sweat.

thanks!

luc

[Maizefarmer]

Your best source of pricing is the local co-op for harvested maize seed - just make sure you get the price for whatever the mositure content is. Its pretty stable from day to day, but it can and does change from week to week - especialy as you move towards the dry season.

As for sweetcorn - meaning corn on the cob for folk to eat: the local market is your best price, unless you are harvesting something like 10rai in one go and want to offload the whole lot - then you need to find out who the area wholesalers are.

[WatersEdge]

Department of Internal Trade has market reports,

but since May have been updated only twice,

it is now Mid August

What good is 21 July data on 17 August?

They previously were updated every day,

even if nothing changed in the market

http://www.dit.go.th/diteng/image/hi_4_50.jpg

Similar reports

http://www.dit.go.th/diteng/image/hi_1_50.jpg

http://www.dit.go.th/diteng/image/hi_2_50.jpg

http://www.dit.go.th/diteng/image/hi_3_50.jpg

http://www.dit.go.th/diteng/image/hi_5_50.jpg

The best way is still to visit the local granary and ask what they are paying.

They have a market report system that I'd love to join.

If anyone can provide the link, please inform.

By way of personal opinion and experience

For all the bad press the Thai Chinese in the grain business receive,

in my area they are the backbone of everything that happens

They know their business by the numbers,

they know their grain by a look in the bag,

a handful to feel,

followed by an inspection tray,

then put it in the moisture meter....

leading to a Class 1, 2, 3 or 4

and a moisture percentage with 14.5 the target

and from those two judgments, a price on their daily chart.

Without their considerable services the grain would rot on the side of the road.

Yes, they are tough businessmen, who take a considerable margin

BUT when I emulated them on a small scale,

I made some mistakes which show me you MUST be tough in this business.

Someone in the business of handling grain must have tough standards,

with the rapid decision capacity to price less than perfect grain

because the next load of different quality is standing in line.

During corn harvest, the big granary in Mae Sot probably takes in 5,000 tons a day

And it all happens smoothly.

The difficulty for us newcomers, they don't like their margin threatened.

Why would they?

They are as tough on this point as any other that effects their business.

There are a couple of interesting things which effect the Thailand grain market.

I will mention Corn since I am familiar with it.

According to DIT, Feedmills are selling Corn at B6.32 / kg on 21 July

http://www.dit.go.th/diteng/image/hi_4_50.jpg

The Silo Buying Price will probably come back at less than B5.00

There is usually about B1.50 spread between Silo Buy and Feedmill Sell

Don't panic if you see a granary billboard posted price around B3.50.

That number is for field damp corn still on the Cob...around 30% total shrink required

3.50 / 0.70 => 5.00

World Commodity price is $3.16 / 56 lb bushel SEP 2009 Future

http://www.cmegroup.com/trading/commoditie...lseed/corn.html

Converting to numbers we can use B4.22 / kg

If indeed Silos pay B5.00, then the Thailand Price is 5.00/4.22 => 1.18

18% over World Commodity Price.

Thailand Prices typically run 30% higher than World Commodity

Corn reserves in Thailand appear to be large.

So that prices on 2008 Corn will probably fall through the floor

with the start of 2009 harvest of bright fresh Corn in a few weeks.

The factor which further destabilizes the Corn market,

Government subsidy in response to Farmer protest

in 2008 paying B8.50 for the same corn that the open market paid B6.00ish

While the World Commodity was 30ish% below B6.00

Two complete price scales on the same day at the same granary,

depending on whether you have a contract letter to sell your 30 tons grain to the government.

The catch was, at B6.00 we were paid in 3 days.

At 8.50 those farmers were not paid until 5 months later.

The unrealistically high prices in Thailand caused Burma corn to flood over,

pushed by Rangoon buyers who failed to buy from their own farmers

significantly expanding Thailand's apparent harvest.

The Government then locked down the border highway to halt Burma Corn.

No Corn was allowed to move, not even my legitimate corn.

Later they allowed it to move by special letter

signed by Tambon officials with each shipment.

Then they restricted shipments between provinces,

so that Corn in Tak could not leave even to Kamphaeng Phet

without a lot more paperwork to verify it was Thailand Corn.

You can imagine the clarity by which loose Corn in a truck reveals its origin?

This pinched the Granaries...they threatened to park their idle trucks in the highway

and the restriction was eventually stopped.

Government bought Corn at B8.50, then added Storage fees and Freight,

so that by the time their Corn reaches market, they need to receive B10

When the domestic market was B6 and the world market was B4.50

Recipe for failure right?

Now the domestic and world market have fallen further,

so the Government never did sell their B10 Corn,

or they may have sold some at a severe loss.

Government has already opened 2009 Farm Contract letters at B8.50 on 250,000 tons.

I think after this year, two severe beatings back to back,

Government will want to rethink this outlandish subsidy thing.

Perhaps it is smart if northern farmers just didn't raise Corn at all.

Thailand can then buy Corn on a boat for 30% less.

One more important market consideration.

On 16 July 2008 the Corn Price was B12.02 / kg, highest ever.

World commodity price was over $7 / bushel

A year later both prices are under 1/2.

The 2009 Harvest has not yet begun.

See the picture? Corn is going to CRASH.

It's a good time to raise pigs, chickens, cows, fish, goats,

...Anything that will eat dirt cheap Corn...and a lot of it.

There is a very special disdain for guys who make wrong market forecasts.

So if I turn up wrong at the end of 2009,

I will say in advance,

No one will be more pleased than myself.

What does a Corn farmer do then?

Soybean has exactly the opposite market conditions.

It is imported to Thailand after a modest domestic production is consumed.

That is, Thailand never produces enough,

and government requires that all domestic production be purchased first.

World supply is tight rather than glutted

Price levels are not anywhere near the Summer 2008 boom,

but they are adequate, forecast a good bit higher in late 2009.

Furthermore,

Soybean fixes Nitrogen in the soil,

has 1/3 the harvest weight as Corn i.e. Less Freight cost

and greatly contributes to animal nutrition,

translating into affordable meat.

[farmerapache]

Department of Internal Trade has market reports,

but since May have been updated only twice,

it is now Mid August

What good is 21 July data on 17 August?

They previously were updated every day,

even if nothing changed in the market

http://www.dit.go.th/diteng/image/hi_4_50.jpg

Similar reports

http://www.dit.go.th/diteng/image/hi_1_50.jpg

http://www.dit.go.th/diteng/image/hi_2_50.jpg

http://www.dit.go.th/diteng/image/hi_3_50.jpg

http://www.dit.go.th/diteng/image/hi_5_50.jpg

The best way is still to visit the local granary and ask what they are paying.

They have a market report system that I'd love to join.

If anyone can provide the link, please inform.

By way of personal opinion and experience

For all the bad press the Thai Chinese in the grain business receive,

in my area they are the backbone of everything that happens

They know their business by the numbers,

they know their grain by a look in the bag,

a handful to feel,

followed by an inspection tray,

then put it in the moisture meter....

leading to a Class 1, 2, 3 or 4

and a moisture percentage with 14.5 the target

and from those two judgments, a price on their daily chart.

Without their considerable services the grain would rot on the side of the road.

Yes, they are tough businessmen, who take a considerable margin

BUT when I emulated them on a small scale,

I made some mistakes which show me you MUST be tough in this business.

Someone in the business of handling grain must have tough standards,

with the rapid decision capacity to price less than perfect grain

because the next load of different quality is standing in line.

During corn harvest, the big granary in Mae Sot probably takes in 5,000 tons a day

And it all happens smoothly.

The difficulty for us newcomers, they don't like their margin threatened.

Why would they?

They are as tough on this point as any other that effects their business.

There are a couple of interesting things which effect the Thailand grain market.

I will mention Corn since I am familiar with it.

According to DIT, Feedmills are selling Corn at B6.32 / kg on 21 July

http://www.dit.go.th/diteng/image/hi_4_50.jpg

The Silo Buying Price will probably come back at less than B5.00

There is usually about B1.50 spread between Silo Buy and Feedmill Sell

Don't panic if you see a granary billboard posted price around B3.50.

That number is for field damp corn still on the Cob...around 30% total shrink required

3.50 / 0.70 => 5.00

World Commodity price is $3.16 / 56 lb bushel SEP 2009 Future

http://www.cmegroup.com/trading/commoditie...lseed/corn.html

Converting to numbers we can use B4.22 / kg

If indeed Silos pay B5.00, then the Thailand Price is 5.00/4.22 => 1.18

18% over World Commodity Price.

Thailand Prices typically run 30% higher than World Commodity

Corn reserves in Thailand appear to be large.

So that prices on 2008 Corn will probably fall through the floor

with the start of 2009 harvest of bright fresh Corn in a few weeks.

The factor which further destabilizes the Corn market,

Government subsidy in response to Farmer protest

in 2008 paying B8.50 for the same corn that the open market paid B6.00ish

While the World Commodity was 30ish% below B6.00

Two complete price scales on the same day at the same granary,

depending on whether you have a contract letter to sell your 30 tons grain to the government.

The catch was, at B6.00 we were paid in 3 days.

At 8.50 those farmers were not paid until 5 months later.

The unrealistically high prices in Thailand caused Burma corn to flood over,

pushed by Rangoon buyers who failed to buy from their own farmers

significantly expanding Thailand's apparent harvest.

The Government then locked down the border highway to halt Burma Corn.

No Corn was allowed to move, not even my legitimate corn.

Later they allowed it to move by special letter

signed by Tambon officials with each shipment.

Then they restricted shipments between provinces,

so that Corn in Tak could not leave even to Kamphaeng Phet

without a lot more paperwork to verify it was Thailand Corn.

You can imagine the clarity by which loose Corn in a truck reveals its origin?

This pinched the Granaries...they threatened to park their idle trucks in the highway

and the restriction was eventually stopped.

Government bought Corn at B8.50, then added Storage fees and Freight,

so that by the time their Corn reaches market, they need to receive B10

When the domestic market was B6 and the world market was B4.50

Recipe for failure right?

Now the domestic and world market have fallen further,

so the Government never did sell their B10 Corn,

or they may have sold some at a severe loss.

Government has already opened 2009 Farm Contract letters at B8.50 on 250,000 tons.

I think after this year, two severe beatings back to back,

Government will want to rethink this outlandish subsidy thing.

Perhaps it is smart if northern farmers just didn't raise Corn at all.

Thailand can then buy Corn on a boat for 30% less.

One more important market consideration.

On 16 July 2008 the Corn Price was B12.02 / kg, highest ever.

World commodity price was over $7 / bushel

A year later both prices are under 1/2.

The 2009 Harvest has not yet begun.

See the picture? Corn is going to CRASH.

It's a good time to raise pigs, chickens, cows, fish, goats,

...Anything that will eat dirt cheap Corn...and a lot of it.

There is a very special disdain for guys who make wrong market forecasts.

So if I turn up wrong at the end of 2009,

I will say in advance,

No one will be more pleased than myself.

What does a Corn farmer do then?

Soybean has exactly the opposite market conditions.

It is imported to Thailand after a modest domestic production is consumed.

That is, Thailand never produces enough,

and government requires that all domestic production be purchased first.

World supply is tight rather than glutted

Price levels are not anywhere near the Summer 2008 boom,

but they are adequate, forecast a good bit higher in late 2009.

Furthermore,

Soybean fixes Nitrogen in the soil,

has 1/3 the harvest weight as Corn i.e. Less Freight cost

and greatly contributes to animal nutrition,

translating into affordable meat.

thanks alot for this information,maybe not a bad idea to grow soybeans next time,good for our cows and good for the land and probably a better profit

but can you give me some more information about soybeans because we never did that before and i'm only into farmerbusiness for the last two years,like what kind of soybean to grow,how long till harvesting,does it needs alot water,what fertilizer to use,and most important...what is the most regular price of soybean?

we have 40 rai with complete water irrigation so water is no problem

would be very pleased if you could provide us this information.

thanks alot in advance friends,

luc