RI buys 400,000 tons of corn, say traders<\/p>\n
SINGAPORE (Reuter): Indonesia is believed to have bought close
\nto 400,000 tons of corn after drought linked to the El Nino
\nweather pattern blighted the crop on Java, traders said
\nyesterday.<\/p>\n
"The Indonesians must have bought that, minimum," a senior
\ndealer for a trading house told Reuters. "They did some
\noutstanding business with Argentina. The rest of the corn came
\nfrom China."<\/p>\n
"They needed another 400,000 tons because there is no rain on
\nJava. Most of the corn will come from China," another dealer
\nsaid. Indonesian feedmills were taking Chinese grain because they
\nwere at a strong discount to U.S. origins, he added.<\/p>\n
Chinese corn coming into Southeast Asia was quoted by the
\ntrade at around US$135-$139 a ton C&F for October\/December
\nshipment on a Handy. The Chinese corn can also be delivered to
\nsmaller ports.<\/p>\n
U.S. corn was seen at $143-$146 a ton C&F for the same period
\non a Panamax, dealers said.<\/p>\n
One trader said he heard Chinese corn fetching a quote of as
\nlow as $132 a ton.<\/p>\n
"Buyers in this region like those in Indonesia will not wait
\nfor the USDA crop report tomorrow and will pick up corn because
\nprices are very attractive," a trader said.<\/p>\n
The U.S. Department of Agriculture (USDA) monthly crop report
\nis due out at around 1230 GMT yesterday.<\/p>\n
Traders said the Indonesian corn crop was in poor shape.<\/p>\n
"In a word, it looks very bad. They were hoping for rain, but
\nnothing came. They're still waiting for rain to come," one said.<\/p>\n
The drought was linked to the El Nino, a weather anomaly
\ncaused by formation of abnormally warm water off South America
\nwhich turns world weather patterns upside down.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/ri-buys-400000-tons-of-corn-say-traders-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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