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A group of South Korea flour mills lead by DongAOne Co Ltd has bought 27,000 tonnes of wheat to be sourced from the United States in a tender which closed on Thursday, European traders said. The tender had sought shipment between October 1-31 from the US Pacific North West coast, they said. The purchase involved a range of wheat types, they said.
The group bought 15,400 tonnes of western/soft white wheat with a maximum 10.5 percent protein content at $219.52 a tonne FOB and 2,000 tonnes of western/soft white wheat of a maximum 8.5 percent protein content at $225.42 a tonne FOB, traders said.
The rest of the purchase comprised hard red winter wheat with a minimum 11.5 percent protein, bought at $227.61 a tonne FOB, and northern spring/dark northern spring of a minimum 14 percent protein content, both bought at the outright price of $257.42 a tonne FOB and at a premium of 153.59 cents a bushel over the Chicago December wheat contract, they said. A group of South Korea flour mills lead by CJ Cheiljedang Corp also purchased 46,550 tonnes of wheat to be sourced from the United States in a separate tender which closed on Thursday for the same wheat grades but at different prices, European traders said.

Copyright Reuters, 2016

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