US Corn Syrup Jumps 7.1% Amid Seasonal Demand and Escalating Geopolitical Risks

US Corn syrup prices strengthened in early March as tighter weekly market flows reduced immediate availability and buyers increased procurement ahead of spring merchandising activity. Following February’s softer trend, assessed values moved higher, encouraging fresh purchases from both domestic consumers and export-linked buyers. Seasonal demand from food applications remained supportive, with beverages maintaining steady offtake ahead of promotional cycles, while confectionery demand improved in preparation for Easter-related production. Industrial baking also contributed to routine drawdowns. Although export demand from Japan and South Korea remained subdued, shipments to Mexico provided additional support. On the supply side, wet milling operations in Iowa, Illinois, and Nebraska continued near nameplate capacity after winter maintenance, ensuring stable production flows, while inventories at Houston terminals remained close to normal levels, preventing sharper supply tightening. However, rising corn input costs affected producer margins and contributed to firmer price sentiment. Looking ahead, geopolitical tensions involving the United States, Israel, and Iran may further influence cost structures, as higher crude oil prices could increase energy and freight expenses, potentially sustaining upward pressure in the near term.