Global grain prices surge as corn and wheat markets rally

Global grain prices have seen significant upward movement, particularly for corn and wheat. Analysts from PKO BP report that corn contract valuations on Euronext rose by over 50 percent year-on-year. This surge is driven by declining production forecasts for the 2026/27 season, with the EU expected to see a 16 percent decrease in corn production.

In Poland, corn harvests are progressing, with yields in some regions reaching up to 20 tons per hectare. Local prices for corn have risen, with dry grain trading around 920 PLN per ton. Wheat prices are also expected to rise, with forecasts suggesting a 17-28 percent year-on-year increase in the fourth quarter of 2026.

Market volatility is further influenced by supply constraints in the Black Sea region due to ongoing conflict in Ukraine, which has impacted export infrastructure. While corn prices on the Chicago Board of Trade faced downward pressure, European markets showed the opposite trend, creating a significant price gap between European and American corn. Additionally, sugar prices remain near 19-month highs.