South African maize and wheat prices closed the session substantially higher on Thursday due to a softer rand and following US Chicago Board of Trade prices.
“We have had an unbelievable run today in the maize price with maize up about R300 over a fairly short period of time‚” a local trader said.
A weaker rand drives demand for the local product as it means the price is more affordable to offshore buyers.
At 12pm the rand was bid at R8.4795 from R8.4137 on Wednesday.
White maize for December delivery‚ the most active contract on the South African Futures Exchange‚ gained R80.00 to close at R2‚530 a ton. Meal made from the grain is SA’s staple food.
Yellow maize for December delivery also jumped R80 to R2‚543 a ton. The grain is used mainly as animal feed in SA.
Wheat for December delivery added R67 to close at R3‚540 a ton. - I-Net Bridge