China sold soyameal cargoes to Vietnam this week at competitive prices, while Malaysian buyers are in the market negotiating prices to take around 100,000 tonnes of corn for September shipment. Feed millers in the Philippines bought 50,000 tonnes of Australian feed wheat at $283 a tonne, including cost and freight (C&F), while India was also active, selling more corn to Vietnam and Indonesia at around $255 a tonne.
China, which processes imported soyabeans mainly for domestic consumption, has been selling soyameal in smaller cargoes to Vietnam in past few weeks because of attractive global prices, traders said. "China has been active but volumes are small, we expect around 5,000 to 10,000 tonnes sold in the last few weeks in small vessels carrying up to 1,000 tonnes each," said one dealer with an international trading company in Singapore. "This trend is not going to last more than a month as China has its own demand to meet."
China sold soyameal at around $530 a tonne C&F to Vietnam, compared with $540 a tonne being offered for South American cargoes and $550 a tonne for Indian shipments. In the corn market, Malaysia is negotiating to buy some 100,000 tonnes for delivery in September, while taking smaller volumes in containers from India for prompt shipment.
South American corn prices offered in Asia rose to around $280 a tonne this week from about $265 to $270 a tonne being offered last week, on tight supplies and higher prices in the futures market. US corn futures are up around half a percent this week after climbing more than 8 percent last week, which is being reflected in Asian physical prices.
Still, India has been selling corn at competitive prices to Vietnam, Indonesia and Malaysia. In deals signed in past few weeks feed millers in Vietnam have booked some 50,000 tonnes of Indian corn at around $248 to $255 a tonne, C&F. The country is expected to sell up to 900,000 tonnes in the months ahead after exporting around 2.4 million tonnes this marketing year which started in October, according to estimates by Indian traders.
South Korea's Major Feedmill Group (MFG) has bought 70,000 tonnes of corn from Marubeni Corp at $255.5 per tonne in a private deal, traders said on Friday. The Philippines bought 50,000 tonnes of Australian feed wheat $283 a tonne, C&F, for arrival in August. "I think they are done with their purchases for August, now they should be looking at September," the second trader said. In the wheat market, US soft white wheat is quoted around $285 a tonne, including cost and freight, (C&F) compared with $300 a tonne for Australian standard wheat.