StoneX released its November report, forecasting for the first time that Brazil's second-quarter corn production for 2025/26 will be 107 million tons, a 4.1% decrease from the previous year.

The StoneX report's forecast of a 4.1% year-on-year decrease in Brazil's second-quarter corn production to 107 million tons for 2025/26 indicates a tightening global corn supply, which is beneficial for rising spot prices. Combined with Dalian Commodity Exchange corn futures data (e.g., the closing price of the 2601 contract was 2134 RMB/ton), the current market is in a slight downward trend, but this expected supply reduction may boost investor confidence, stimulate buying, and drive up the prices of futures contracts (e.g., 2601, 2605).

As corn is the main raw material for corn starch, a 4.1% decrease in supply will increase production costs, which is beneficial for rising corn starch spot prices. The market expects that the increase in corn costs may be passed on to downstream products, supporting spot demand. No relevant data is provided for futures; the analysis focuses on the impact on the spot market.

If you have any enquiries or purchasing needs, please feel free to contact SunSirs with support@sunsirs.com.