European traders reported that South Korea’s Major Feedmill Group, or MFG, purchased approximately 68,000 metric tonnes of animal feed corn at an international auction on Wednesday. The group was looking for up to 140,000 metric tons only from South America and South Africa.
The traders expected the corn to come from South America.
A consignment of a truck was purchased for an estimated cost and freight (c&f), plus a surcharge of approximately $1.25 per ton to cover additional port unloading.
Seller is believed to be Bunge trading house with corn arriving in South Korea around Nov. 15.
A second consignment that was to arrive around November 10th, but which had been sought out in the tender, has not yet been purchased.
The consignment was purchased for shipment between September 12 to October 1, if it came from South America or between September 27 to October 16, if it came from South Africa.
The traders said that there were few offers of corn for sale in South American ports on Wednesday, which made it difficult to participate in the tender and lowered the final purchase volume.
The Asian corn market was stimulated by the Chicago corn futures contract setting new lows on Wednesday. This is due to the steady U.S. crops and expectations for a bumper U.S. harvest.
The reports reflect the assessments of traders, and it is still possible to estimate prices and volume later. (Reporting and editing by Rashmi aich, with Michael Hogan)
(source: Reuters)