Maize deliveries from South African farms rose past the 11 million tonne mark last week, data showed on Wednesday, while the main maize futures rode higher on the back of firmer international prices. White maize deliveries rose to 6.425 million tonnes from 6.410 million tonnes, while yellow maize submissions increased to 4.594 million tonnes from a revised 4.583 million, the South African Grain Information Service (SAGIS) said.
The submissions pushed total maize deliveries since the start of the marketing season in May to 11.02 million tonnes from 10.99 million tonnes in the week before, SAGIS said. The combined deliveries are less than the 11.19 million tonnes in silos at the same time last season.
The increase in deliveries is likely to add to expectations of another big maize crop this season. The Crop Estimates Committee has forecast production of the staple grain of 11.74 million tonnes for the 2008/09 season, compared with 12.70 million tonnes in the season before. Despite being about a million tonnes less than the previous year's crop, output of 11.74 million tonnes would still be more than annual consumption of between 8-9 million tonnes.
The expectations of another large harvest have helped keep maize futures prices relatively low this year, although the market has mainly taken direction from international prices and the local rand currency. The main maize futures ended higher on Wednesday, buoyed by firmer international corn prices on the Chicago Board of Trade (CBOT) over night, which were lifted by fund buying, gains in crude oil and strong technicals.
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