South Korea’s NOFI buys estimated 136,000 T corn, traders say

Leading South Korean animal feed maker Nonghyup Feed Inc. (NOFI) bought an estimated 136,000 metric tons of animal feed corn to be sourced optionally from the United States, South America or South Africa in an international tender on Tuesday seeking up to 207,000 tons, European traders said.

It was bought in two 68,000 ton consignments for 2025 arrival, both from trading house Olam.

The first corn consignment was sought for arrival in South Korea around Jan. 5 and was partly bought at the outright price of $239.99 a ton cost and freight (c&f) included and partly at a premium of 185 U.S. cents a bushel c&f over the Chicago March 2025 corn contract CH25.

If sourced from the U.S. Pacific Northwest coast, consignment shipment is sought between Dec. 3-Dec. 22, from the U.S. Gulf between Nov. 13-Dec. 2, from South America between Nov. 8-Nov. 27, or from South Africa between Nov. 18-Dec. 7.

The second consignment for arrival around Jan. 20 was partly bought at the outright price of $243.99 a ton c&f and partly at a premium of 195 U.S. cents a bushel c&f over the Chicago March 2025 corn contract.

If sourced from the U.S. Pacific Northwest coast, shipment is between Dec. 18-Jan. 6, from the U.S. Gulf between Nov. 28-Dec. 17, from South America between Nov. 23-Dec. 12, or from South Africa between Dec. 3-Dec. 22.

If South African corn is sourced, only 53,000 tons need be supplied for each consignment. Both consignments have an additional $1.50 a ton surcharge for additional port unloading.

No purchase was reported of a third consignment also sought in the tender.

Reports reflect assessments from traders and further estimates of prices and volumes are still possible later.

Traders said Asian purchase interest was sparked after Chicago corn futures fell on Monday.
Source: Reuters (Reporting by Michael Hogan; Editing by Mrigank Dhaniwala)