South Korea's KFA buys about 60,000 tonnes corn in tender

HAMBURG: The Korea Feed Association (KFA) purchased about 60,000 tonnes of corn in a tender that closed on Friday, continuing a series of large Korean corn purchases this week, European traders said.

It was bought by the KFA's Busan section in one consignment at $191.60 a tonne c&f for arrival in South Korea around Sept. 25.

The seller was said to be trading house CHS.

Shipment is between Aug. 22 and Sept. 10 if sourced from the US Pacific Northwest Coast, between Aug. 2-21 if from the US Gulf or east Europe, between July 28 and Aug. 16 if sourced from South America or between Aug. 7-26 if from South Africa.

"Low corn prices sparked a series of purchases by Korean buyers this month and it seems they have taken a big bite out of their supply requirements," one trader said.

Chicago corn futures fell around 2 percent on Thursday, hitting their lowest since Sept. 19, partly on concern about high US ethanol stocks, which could curb corn demand from biofuel producers.

This week has seen a stream of corn purchases by South Korea both in international tenders and private deals.

Other buyers this week include South Korea's largest feedmaker Nonghyup Feed Inc. (NOFI) and the Feed Leaders Committee.