Korea zinc expands nickel production
Korea Zinc, the world’s largest zinc smelter by output, is expanding its nickel business and embracing battery materials to drive growth as it aims to capitalise on US efforts to reduce dependence on China in the global electric vehicle supply chain.
“This China decoupling momentum is creating great opportunities for us and Korea as a whole,” Park Ki-deok, the president of the South Korean company, told the Financial Times. “We are the best alternative to China to meet the IRA conditions.”
The Inflation Reduction Act, US president Joe Biden’s flagship climate legislation, offers billions of dollars in subsidies to EV manufacturers and battery makers on condition that they source components from the US and its free trade partners.
Japan’s rice production expected to dip
Production of rice in Japan is expected to dip to 7.3 million tonnes in marketing year 2023-24, down from 7.48 million the previous year, as extremely high temperatures and little rain are expected to lower yield and quality, according to a Global Agricultural Information Network report from the Foreign Agricultural Service (FAS) of the US Department of Agriculture.
Rice produced in Japan is almost entirely Japonica short grain rice. Rice is produced throughout the country and is harvested in September and October in most regions. Industry contacts estimate that heat stress will lower yield and quality nationwide, resulting in increases in empty grains, smaller grains, chalky kernels, cracks in kernels and high protein levels, FAS Post Tokyo said.
Sugar production isn’t looking so sweet
Global sugar prices are up, and sugar production isn’t looking so sweet as we move into a new crop year starting Oct. 1.
Global sugar production for the 2022-2023 crop year was estimated at 177.3 million metric tons raw value (MTRV), and current forecasts project a 1.2 percent decline for the 2023-2024 crop year. The new crop could drop to 174.9 MTRV due to shortfalls connected to El Niño-influenced dry weather.
That’s according to David Branch, a sector manager with the Wells Fargo Agri-Food Institute, who noted that the primary shortfalls were coming from India and Thailand.
Pakistan expecting record wheat, rice output
Pakistan is projected to harvest a record 28 million tonnes of wheat in the 2023-24 marketing year, while consumption is also expected to reach an all-time high of 29.5 million tonnes, according to a Global Agricultural Information Network (GAIN) report from the US Department of Agriculture’s Foreign Agricultural Service (FAS). Pakistan, which has the world’s fifth largest population which is growing at nearly 2 percent per year, has been focusing on increasing grain output to address food insecurity issues. The FAS forecasts wheat ending stocks in 2023-24 to decline to 3.03 million tonnes, the lowest level since 2019-20.
Oil steady after tanking in previous session
Oil prices were broadly steady on Thursday after the previous session’s big losses, as an uncertain demand outlook held off any boost from an OPEC+ panel maintaining oil output cuts to keep a tight supply.
Brent crude oil futures rose slightly by 18 cents to $85.99 a barrel at 0818 GMT, while U.S. West Texas Intermediate crude also crawled up 18 cents to $84.40.
Oil settled down more than $5 on Wednesday as a bleaker macroeconomic outlook and fuel demand destruction came into focus following a meeting of an OPEC+ panel, grouping the Organization of the Petroleum Exporting Countries and allies led by Russia.
New natural gas: middle east meets global demand by 2030
Gas-rich geographies, such as the Middle East, should meet the global demand by 2030, Oslo based energy policy centre, Rystad Energy reports.
According to the report, global gas demand is projected to rise in the next decade, thus influencing a 12.5 percent surge in production between 2023 and 2030.
Rystad Energy forecasts that even in scenarios of 1.9 – 2.5°C warming, with rapid growth in renewable energy sources, the current set of existing gas fields will not meet global demand, requiring rapid growth in unconventional gas supply.
The Report’s global warming scenarios suggest more gas exploration and production is required to meet 1.9 or 2.5° of warming.
Tea production falls by 4pc to 178 mn kg
Tea production across the country declined by around 4 percent to 177.95 million kilograms in August this year as compared to the output in the year-ago month. The production volume in August last year was 185.48 million kgs (mkgs). According to Tea Board data, production in north India, primarily comprising the states of Assam and West Bengal, fell to 158.04 mkgs in the month under review from 170.97 mkgs produced in August, 2022. In Assam, production volumes decreased to 99.78 mkgs in August this year as against 109.81 mkgs in the year-ago month. Production in West Bengal also fell to 53.65 mkgs in August 2023, as against 56.19 mkgs in the corresponding month last year.
Kazatomprom plans uranium production increase in 2025
Kazatomprom, the Kazakh uranium producer, will increase production volumes in 2025, adding 6,000 tonnes of elemental uranium (tU) to global primary supply and returning to a 100 percent level relative to its subsoil use agreements for the first time since 2018. The board of Kazatomprom approved the strategy.
Kazatomprom’s 2025 production is now expected to be between 30,500tU and 31,500tU. The decision to increase output was motivated by improved uranium market conditions and successful medium and long-term contracting with new and existing customers.