Thai oil crushers were seeking 30,000-50,000 tonnes of August soyabean while there were inquiries for optional origin wheat from one flour mill and a shrimp feed producer, trade sources said on Wednesday. They said the steady baht helped boost import demand although liquidity crunch and problems with letters of credit continued to hamper trade. The soyameal market was quiet as buyers bought on hand-to-mouth basis.

With more supplies coming into the country, feed producers can afford to sit out for a while, they said. Around 93,000 tonnes of soyameal, mostly from Argentina, are scheduled to arrive at Thai ports between July 7-25, according to shipping sources. Argentine soyameal was quoted around $183-185 per tonne on a C&F basis. In a domestic market, soyameal was quoted at 10.50-10.75 baht a kg, traders said. There were no fresh orders of corn this week as the market was still unclear about the commerce ministry's recent regulation on the import of non-WTO corn, includingthat from China, they said. "Buyers don't want to make any move until they get a clearer explanation on tariff from authorities. It's a bit confusing at the moment," said a trader with one major European trading firm.

Malaysia palm oil output up 10%

Malaysia's palm oil production is estimated to have risen by 10 per cent to 706,000 tonnes in June from May, crop forecaster Ivan Wong said on Wednesday. He put end-June stocks at 685,000 tonnes against 649,842 tonnes at end-May. Exports in June stood at 580,000 tonnes against 525,668 tonnes in May, Wong said in his latest crop report. "All producing regions recorded higher production with the latest increases posted by the two leading producing states, Johor and Sabah," Wong said. He said a further hike in export duties in Indonesia, scheduled to be announced today, will not stem exports so long as net export prices remained higher than domestic market prices. "This is because of exporters drive for profit maximisation and preference for the dollar,"he said.

Taiwan gold imports down 35.7%

Taiwan's import of gold bars, coins and plate fell 35.7 per cent to 4.141 tonnes in June over June 1997 as local demand slowed, the finance ministry and dealers said on Wednesday. "Taiwan gold market is very slow so far this year," a Taipei gold dealer said. Taiwan gold imports have fallen sharply since the start of 1998, with cumulative January-to-June gold imports down 35.3 per cent to 35.770 tonnes from 55.253 tonnes in the first half of 1997. Gold dealers said Taiwan gold demand would remain low in coming months due to a weak Taiwan dollar and a relatively slow local economy. "Taiwan's gold market is likely to remain in a slump in the second half of 1998," a state bank gold dealer said. "The local economy is still slow and the weak stock market performance will not help." The finance ministry said Taiwan's gold exports in June were slight, at 0.107 tonne, compared to 0.493 tonne in June 1997.

Korean zinc exports double

South Korea's refinedzinc exports are expected to surge to 160,000 tonnes in 1998 from 88,600 tonnes in 1997, said Korea Zinc Co Ltd, the largest of the nation's two zinc producers. "We exported actively to make up for slumping domestic demand in the first half of this year and will do the same for the second half," Kim Jae-sun, general manager of Korea Zinc's zinc business team, told Reuters. Zinc accounts for about 75 per cent of the country's zinc production and the other producer, Young Poong Corp, accounts for the remainder. Kim said the two companies have expanded their shipments to the United States and Europe, which consumed only a small portion of South Korean exports. Exports to their traditional markets, the Philippines, Taiwan and Indonesia, have slumped this year due to their economic slowdown.

Shanghai copper unchanged

Shanghai copper futures closed little changed on Wednesday with volume shrinking sharply on quiet overnight trade on the London Metal Exchange (LME), traders said. Shanghai's most activelytraded October 1998 contract ended at 16,160 yuan ($1,952) per tonne, up 10 yuan from Tuesday's close. The copper futures opened at 16,230 yuan. It went on to hit an intraday high of 16,240 yuan and a low of 16,110 yuan. Tokyo coffee futures weakYen-based Tokyo coffee futures ended lower in uneventful trade on Wednesday, following the weaker market in New York overnight and the yen's firmer tendency against the dollar, traders said. "Trading interest remained thin since the New York market has drifted within a narrow range," one analyst at a commodity broker said. Arabica coffee futures ranged from 90 to 330 yen per bag, or 69 kgs, lower. Benchmark May shed 90 yen to end at 25,900 yen. Estimated volume was thin at 2,549 lots. Robusta contracts ranged from 30 yen to 100 yen per 100 kg lower. Benchmark May was down 100 yen to end at 23,400 yen. Estimated volume was 813 lots. The dollar traded below 139 yen in Tokyo on Wednesday, with the topside capped by expectations that Japanese prime minister RyutaroHashimoto might announce permanent tax cuts at a news conference on Wednesday evening, currency dealers said.

Singapore rubber futures flat

Singapore rubber futures were flat in listless trade on Wednesday with minor interest seen in October supplies, traders said. The October futures were 0.50 US cents higher at 63.00 cents and RSS3 October futures were up 0.75 cent to 71.75 cents. As hopes faded for intervention by the International Natural Rubber Organisation (INRO) to prop up prices, traders said they expected a bearish market to continue. On July 7, INRO's five-day moving average was 190.38 Malaysian/Singapore cents a kg and the daily market indicator price was 190.04, both well above its "may-buy" level of 183 cents. "The INRO moving average is higher, but that does not mean the market improved," said one trader. Traders said they still did not see demand from across the region during Asia's economic crisis and the only activity in the market was minor adjustments. RSS3 September suppliesfell 0.50 cent to 70.75 cents and TSR20 November slid 0.25 cent to 65.00 cents.

US oil prices rise

US energy futures prices rose on after-hours ACCESS trade, led higher by short-covering and a drop in nationwide gasoline supplies, traders said. ACCESS August crude oil rose 10 cents a barrel to $13.72 on volume of 422 lots by 1630 PDT. Trade was light in the overnight market, with activity driven by speculators covering their short positions. On the supply side, a leading oil industry group -- the American Petroleum Institute (API) -- reported late Tuesday that US gasoline stockpiles fell by 1.4 million barrels to 218.6 million barrels last week. "We were up a little before the (API) numbers on short-covering and then the API's were supportive," an ACCESS trader said. August gasoline futures reached 47.20 cents a gallon, up by around 0.28 cent a gallon by 1630 PDT on volume of 123 lots. Front month heating oil contracts traded at 37.80 cents a gallon, up 0.20 cent a gallon.

Euro cottonprices lower

European raw cotton prices have fallen marginally but the influence of the holiday weekend in New York has continued to limit trading activity. "A lack of clear price direction in the New York futures market has restricted trading enterprise in European raw cotton markets," said Cotlook Ltd., the Liverpool-based cotton information company. In the New York futures market, the dominant December deliveries was last seen trading at 76.72 cents/lb, 27 cents/lb lower than the highs generated as a result of drought forecasts on Monday. The usda crop report is also helping to keep many on the sidelines.

Australian wool indicator falls

The Australian Wool Exchange (AWEX) said on Wednesday its national market indicator fell three cents to 585 cents a kg clean with sales only in Sydney. The AWEX northern market indicator (Sydney) was down 11 cents to 593 cents per kg compared with sales on July 2. It said merino fleece were steady to cheaper, with 19 micron and finer unchanged, 20/21.5micron two per cent cheaper and 22/22.5 three percent cheaper. Merino skirtings were cheaper while crossbreds were generally one per cent cheaper.