South African White Corn Rises for Sixth Day on Shortage ConcernTshepiso Mokhema
South African white-corn futures rose for a sixth session on concern about a potential shortage of the grain.
White corn for delivery in December, the most active contract, climbed 0.5 percent to 2,359 rand ($228) a metric ton by the close on the South African Futures Exchange in Johannesburg. The streak of advances is the contract’s longest since March 5. A meal made from white corn is a staple food in the nation.
The yellow corn that South African farmers usually feed to livestock is being shipped abroad, leaving them at risk of having to use the white variety instead. Exports of yellow corn were the highest in at least a decade in the week ended July 26, according to the Pretoria-Based South African Grain Information Service.
“Our market still gets concerned from the potential risk of a shortage of maize in South Africa,” Benjamin Swanepoel, a trader at Trademar Futures (Pty) Ltd., said in an e-mailed response to questions, using another name for the grain.
The national corn crop may come to 11.34 million tons, according to the median estimate of seven analysts in a Bloomberg survey. That would be 0.5 percent less than the 11.4 million-ton prediction made by the Pretoria-based Crop Estimates Committee on July 25.
Yellow corn for delivery in December climbed 1.1 percent to 2,224 rand a ton, the contract’s highest since July 23 and also a sixth straight advance. Wheat for the same delivery month added 0.7 percent to 3,380 rand a ton, the fifth gain in a row.