KUALA LUMPUR, Feb 10: Prices of corn and soymeal were lower in Malaysia from a week ago due to a stronger ringgit against the US dollar and weaker demand, traders said on Tuesday."It's still currency factor determining the price direction," said the trading manager of a local flour mill. He said demand had also slowed as buyers were expecting the ringgit to rise further and push prices lower. "Sales are pretty sluggish with buyers waiting for prices to fall further.
At the moment, they are coming in only when they need to buy," he said.Traders said rising stocks could also weigh on prices. There were some 80,000 tonnes of corn stocked at Malaysia's central Port Klang, they said. "We are expecting up to 100,000 tonnes to arrive between now and the middle of March," said a trader with a foreign firm.
"This should bring down the price of corn. But if the ringgit weakens again, we may not see lower prices." The Malaysian currency was quoted at 3.5500 to the dollar at 0700 GMT on Tuesday, compared with3.8300 late on Monday and 3.9500 a week ago. Bulk corn of Chinese origin out of Port Klang was quoted on Tuesday at 580 ringgit ($163) a tonne, on a cost-and-freight (C-and-F) basis, compared with 600 ringgit last week. Argentine corn was priced at about 590 ringgit a tonne, against 610 ringgit a week ago. Locally-processed soymeal was quoted at 1,150 ringgit a tonne and 1,170 ringgit for the wholly-imported material.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
