April 22, 2008

India scraps its latest wheat import tender

India Tuesday (April 22) decided not to buy any wheat in its latest call option tender, a trader who participated in the bidding process said.

"None of the bids submitted by global trading companies, including Cargill, Glencore and Toepfer, has been accepted as prices have weakened in the international market," said the trader, who did not wish to be identified.

The companies had submitted bids ranging from US$380 per tonne and US$480/tonne.

In a call option tender, a commodity is purchased at a fixed price and within a limited time period, and the buyer pays only the premium if he does not take physical delivery of the commodity.