March 17, 2004

China Sells 200,000 MT Wheat

The China Grain Reserves Corp., or Sinograin, sold 200,000 metric tons of imported wheat from state reserves in an auction in Tianjin on Tuesday, traders said.
 
A total of 385,000 tons of wheat, imported from Canada in 1999, was offered for sale in the auction, but only 200,000 tons were sold, as many bidders were reluctant to chase the high floor prices set by Sinograin, traders said.
 
The total turnover of the auction was pegged at RMB410 million ($1=RMB 8.277), and the average price was slightly higher than RMB2,000/ton, traders said.
 
After the March rally in rice and wheat, China's government has quickened sales of state-owned grain to curb prices, traders said.