US revises its raw materials projections

The maize crop will be reduced by 4% compared with the
2005-2006 season with 318.1 million metric tons available. Feed and industrial
uptake will increase by 5% but diversion to ethanol will escalate by 35%,
representing 17% of the anticipated supply.
Maize exports will show a
moderate increase of 5%. The net result of increased demand relative to supply
will be a 50% reduction in ending stock to 23.4 million metric tons and a
commensurate increase in average farm price by 30% to €94.80/metric
ton.

More soybeans in 2007
The total supply of
soybeans will increase by almost 10% as a result of a 5% increase in area
planted but with no increase in average yield. It is anticipated that domestic
use of soybeans for feed and industry will increase by less than 1% allowing for
a 21% increase in exports. The average price of soybeans for the 2006-2007
harvest will be approximately 3% lower than the previous year at € 220.60/metric
ton. (Simon Shane)

Forecast values for
production and disposition covering the 2006-2007 growing season are tabulated
below:

Maize