Contract renewed between Agroasemex reinsurer and AARFS Agricultural Insurance Fund

AARFS NEWSLETTER, A.C.Se carried out the signing of the contract renewal between the Agroasemex reinsurer and the Agricultural Assurance Fund AARFS, as part of the strategic alliances to offer producers a quality service in the assurance of their crops, in which the members of the Board of Directors of our Agricultural Assurance Fund participated. With the above, AARFS will be ready for the start of the new autumn-winter agricultural cycle 2022-2023.• It began with the induction of rains in Sinaloa, thanks to the favorable forecast to begin with this strategy, indicated by specialists in the subject. One million hectares will be benefited, and the increase in water levels in the dams is expected thanks to this program.• It was possible to comply with 100 percent of the corn contracts, from AARFS, AC, for the autumn-winter 2021-2022 agricultural cycle. It is worth mentioning that the Agricultural Agency will continue to receive corn in its warehouses, in this way it is expected to provide a better service to the agricultural producer of northern Sinaloa, as well as mark a milestone in the history of corn collection of this Farmers Association.• The international corn market closes the day with losses. This week the market presented a high volatility registering strong falls. The forecast of better weather conditions in the corn belt, the fall in fuel demand and the smooth progress of Brazil’s harvest, the Safriña, put downward pressure on the market. The options of the July 2022 contract expired on June 24, quoting the last price at 295.36 dls plus base of 49 dls, giving a total of 344.36 dls / ton, being for the next sales with expiration July 2022, the price that applies and the factor that will determine the price in pesos will be the Fix exchange rate of the day, which is governed by Banxico. • In wheat, the market this week closes with losses, due to the advance of the harvest in the US. The crop condition report released by the USDA on June 21 showed winter wheat a 25% crop advance and a 30% good/excellent condition. For spring wheat it reported an advance in planting of 98% and a good/excellent condition of 59%. The options of the July 2022 contract expired on June 24, quoting the last price at 339.42 dls plus base of 35 dls, giving a total of 374.42 dls / ton, for the next sales with expiration July 2022, that will be the price that applies and the factor that will determine the price in pesos will be the Fix exchange rate of the day, that is governed by Banxico.• The bean market in the state of Sinaloa registers a greater demand and an improvement in the price, reaching to sell up to $ 22.00 per kilo, mainly in the Reyna variety. With data from the Agricultural Markets Consulting Group, it is estimated that in Sinaloa there are inventories of 30,000 tons because sales have been very slow after having completed the program of the State Government, which supported with two months of free storage. In addition to this, it also estimates an inventory of 2 to 3 thousand tons of the previous cycle O-I 2020/2021.  With data reported by the National System of Information and Market Integration (SNIIM) of the Ministry of Economy of Mexico, the price that was quoted for this week in the main supply centers was $ 25.00 / kg in Guadalajara and $ 28.00 / kg in CDMX.



Original source in Spanish