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South African Wheat Climbs in Johannesburg as Rain Threatens European Crop

Wheat in South Africa, the continent’s fourth-largest producer of the grain, advanced after heavy rains threatened the European crop.

Northwestern Europe is experiencing rains that may cause flooding, the European Union’s Monitoring Agricultural Resources unit said on Aug. 31. The weather has slowed harvesting and may spoil grain quality, it said.

Wheat for December delivery, the most active contract on the South African Futures Exchange, added 14 rand, or 0.5 percent, to 2,755 rand ($378) a metric ton at 9:45 a.m. in Johannesburg. Egypt, Morocco and Algeria are Africa’s largest wheat producers.

White corn for December delivery fell 2 rand, or 0.2 percent, to 1,299 rand a ton. Meal made from the grain is South Africa’s staple food.

Yellow corn for December delivery shed 4 rand, or 0.3 percent, to 1,363 rand a ton. The grain is used mainly for animal feed in South Africa. The U.S. and Argentina are the world’s largest exporters of the grain.

Gains or losses for the most active contracts of three additional crops today were as follows. All prices are in rand and the crops are sold in tons:

            Today’s Price   Previous Close    % Change
Sunflowers      3,970           3,970             n/a
Soybeans        3,175           3,175             n/a
Sorghum         1,580           1,580             n/a

To contact the reporter on this story: Nicky Smith in Johannesburg at nsmith38@bloomberg.net

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