July 13, 2005
Thai Corn Market: Prices fall on new harvest; bird flu to dampen near-term poultry raising (week ending Jul 13, 2005)
An eFeedLink exclusive report
Domestic prices of Thai corn fell in the week ending July 13 as arrivals of fresh corn supplies put a cap on price increases, local corn merchants said.
The supplies, from a new crop harvest which had begun in early July, have begun to enter the market, said a corn merchant based in central Saraburi province. "Ample existing stocks have added to current supply levels, further easing prices this week," he added.
Industry estimates put domestic stocks ending July 12 at about 300,000-400,000 tonnes.
In Saraburi, an important market for corn, ex-feed mill price for corn has been quoted at THB5.45/kg, down slightly from the previous week.
In Bangkok, ex-feed mill corn prices stood at THB5.62-5.63/kg, according to the Department of Internal Trade. Corn prices were slightly higher in the previous week at THB5.63-5.65/kg.
Industry sources forecast that Thailand's corn harvest will reach close to 3.5 million tonnes from this new crop, which is the country's main one.
Also, sufficient stocks at many Thai feed mills have dampened buying activities for the current period, industry sources said.
Domestic corn prices are expected to weaken slightly in the coming weeks as supplies are expected to increase with harvesting underway, sources added.
New cases of bird flu in the central province of Suphanburi may also delay recovery in poultry raising and hold off demand for feed use corn.
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