Northern white suppliers continue to look at the Eagleford as the market to provide support. A slowdown in activity coupled with two additional mines coming online has put pressure on pricing and left many transloads with additional supply in the basin.
PanXchange produces indices for emerging commodities bringing price transparency, price discovery, and key market intelligence. We acquire pricing information by conducting surveys with vetted and anonymous market participants and make expert assessments based on a variety of factors. We will publish monthly spot biomass assessments for Colorado, Oregon, and Kentucky, with plans of expanding crude, distillate, and isolate reporting as well as additional regions.
Maize prices continue to fluctuate and are currently trading at UGX 1,150 per kg in the Kampala area as traders await the middle of July when the new crop will enter the market and should lower price points. Some soybean growing areas, especially the Busoga region in Eastern Uganda, have begun harvesting but high moisture content has eased the price to UGX 1,800 per kg. Tanzanian and Malawi soybeans are coming into Uganda at between UGX 1,900 per kg and UGX 2,000 per kg. Sesame seeds will also be harvested next month but traders have been advised to purchase early to avoid shortages and high prices in the Lira area. Sesame seeds are currently trading at UGX 6,000 per kg in Lira and Mombasa rates are currently at USD 1,450 per metric ton.
In the northern white market, we have heard of mines scaling back utilization as demand has slowed in major basins. Activity in south Texas has flipped in the past week with…
In the northern white market, 40/70m has seen a solid increase in demand shown with higher FOB mine pricing. Most of this demand is centered in the Eagleford and the uptick in STX activity is keeping NWS afloat, as we have seen a decrease in spot transactions for northern white in the Permian.
The northern white market saw a slight uptick in demand for 40/70m from previous weeks, however not shown by pricing as FOB Odessa remained…
This past week 40/70m saw movement in both northern white and Permian markets. Northern white 40/70m pricing was mixed and continues to be the one northern white product moving on a consistent basis. The FOB Odessa 40/70m price was down to its lowest price in the last 3 months, while FOB mine pricing was up week over week. This price movement indicates an uptick in demand for 40/70m in other basins, while a flat or weaker demand for the product in the Permian. This spread will be something to keep an eye on as northern white producers seek arbitrage opportunities on the spot market.
We would like to start this month’s newsletter with an update on PanXchange. At the end of April, PanXchange began on-boarding top-tier market participants onto the trading platform. This phase of the launch is to allow our market-makers a period of time to get comfortable negotiating online and building liquidity. We’re thrilled at how quickly these members took to online negotiations as we already have over $75 million worth of hemp products available for negotiations. For more information on PanXchange’s industrial hemp market, please reach out to the team at hemp@panxchange.com.
Maize prices in the Rift Valley have dropped as NCPB plans to sell off more than two million bags from its stores. The prices increased to more than 3,200 bags last month for a 90kg bag. But the prices have dropped to between Sh2,600-Sh2,800 in Eldoret, Kitale, Bungoma and other areas with millers in Nairobi buying at an average price of Ksh 3100 per 90kg.