Johannesburg - South African corn futures fell by the midday close in Johannesburg on the prospects for rainfall in growing areas, potentially boosting the crop.
Yellow corn for delivery in December, the most active contract, dropped 0.7 percent to 2,410 rand ($240) a metric ton on the South African Futures Exchange.
The white variety for delivery in the same month fell 0.3 percent to 2,464 rand a ton.
The town of Lichtenburg in the North West province, the region that produces about 14 percent of the nation’s corn, has a 30 percent chance of rain from today until November 28 and a 60 percent chance on November 29, according to South African Weather Service website.
“There is a good forecast for rain in the western maize production areas later in the week and more rain is forecast for next week,” Brink van Wyk, a trader at Pretoria-based BVG (Pty) Ltd., said in an e-mailed response to questions.
South Africa is the continent’s biggest producer of corn.
A meal made from white corn is a staple food in the nation and the yellow variety of the grain is mostly fed to animals.
Wheat futures fell for a third day to settle at 3,514 rand a ton. - Bloomberg News