Johannesburg - South African white corn futures rose to the highest level in more than three weeks as the rand weakened against the dollar, making imports of the grain more expensive.
White corn for delivery in December, the most active contract, rose 1.1 percent to 2,398 rand ($3,151) a metric ton, the highest since June 21, by the midday close in Johannesburg.
The yellow variety for delivery in September, gained 0.7 percent to 2,234 rand a ton.
The rand declined for the first time in four days amid expectations that the South African Reserve Bank will leave borrowing costs unchanged tomorrow as growth in Africa’s biggest economy slows.
“With the rand having weakened, prices went up today,” Thys Grobbelaar, an analyst at Klerksdorp, South Africa-based Senwes, said by phone.
South Africa, which is the continent’s largest producer of corn, exported 86,946 tons of the yellow variety, including 84,537 tons to Japan in the week to July 12.
It didn’t import any of the grain during that time.
Meal made from the white variety is a staple food, while yellow corn is mainly used as animal feed.
Wheat for delivery in December declined 0.3 percent to 3,360 rand a ton. - Bloomberg News