The weather remains a key focus in the South African grains and oilseeds market as the crop is still in its early stages of development.
The season started on a mixed footing with the western and central regions of the country experiencing dry and warm conditions, whereas the eastern regions received a fair amount of rainfall. Fortunately, conditions have now improved, after recent rainfall in most summer crop growing areas.
The weather outlook for the rest of the production season shows a possibility of above-normal rainfall across the summer crop growing areas. This will further improve soil moisture and subsequently, benefit the crops.
Against this backdrop, the grains and oilseeds prices lost ground and settled lower compared to the previous week (ending 2 February 2018). The notable losses were on maize, which was not only pressured by unfavourable weather conditions, but also by a large carryover stock. The SAFEX beef carcass market remained flat throughout the week (ending 9 February 2018) due to thinly traded volumes.