Cheap US Corn Lures Chinese Buyers
China intends to boost grain purchases as price difference has increased
Cheap American corn is attracting prospective Chinese purchasers again less than a week after the Asian nation picked up the most supplies in almost seven years.
According to a report at Yahoo Finance, Chinese buyers are inquiring about prices for American corn as well as sorghum, according to people familiar with the matter, who asked not to be identified because the information is private.
The move comes as crashing US prices make the yellow grain used in biofuel and animal feed more attractive, while the Chinese domestic market is seen staying strong.
China has been more active in the American market recently, and intends to boost grain purchases as the price difference between supplies there and in the US has increased, the people said.