Commodities & Fairtrade News South Africa

Maize crop for 2015 expected to drop by 32%

The size of the expected commercial maize harvest is expected to be 32% smaller than the 2014 crop‚ which was the biggest in 33 years‚ the Crop Estimates Committee (CEC) reported on Wednesday...
Maize crop for 2015 expected to drop by 32%
© laurent dambies – 123RF.com

The CEC said the two main producing areas‚ namely the Free State and the North West‚ had not received sufficient rain.

In 2014‚ the two provinces provided 64% of the total maize harvest - that figure is set to decline to 56% this year.

"This is the worst drought in 22 years and has caused extensive damage to the maize crop‚" the committee said.

At the close of market on Thursday‚ maize futures were lower. Prices have proven volatile in the last three weeks - making large gains and drops in response to the rand.

The white maize contract due for delivery in July 2015 was down R38.40 to 2‚675.60 a ton‚ the September 2015 contract shed R42 to R2‚714 a ton and the December 2015 contract slipped by R34 to R2‚760 a ton.

The yellow maize contract due for delivery in July 2015 fell by R19 to R2‚410 a ton‚ the September 2015 contract lowered by R18 to R2‚452 a ton and the December 2015 contract was down R16.80 to R2‚488.20 a ton.

Wheat futures finished firmer.

The July 2015 contract added R20 to R3‚920 a ton‚ the September 2015 contract rose by R30 to R3‚840 a ton and the December 2015 contract lifted by R25 to R3‚800 a ton.

Source: I-Net Bridge

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