South Korea’s Feed Leaders Committee (FLC) and Major Feedmill Group (MFG) have reportedly secured significant quantities of animal feed corn in private deals, bypassing the need for an international tender. FLC purchased around 65,000 metric tons of corn, while MFG acquired an estimated 68,000 tons in separate transactions.
The corn, expected to be sourced from South America, South Africa, or possibly the United States, was purchased at an estimated cost of $243.49 per ton, including freight, along with a $1.50 per ton surcharge for additional port unloading. The seller for the FLC transaction was believed to be trading house CHS. The corn is scheduled for arrival in South Korea around July 30, with shipments scheduled between May 20 and June 20.
These private deals reflect a proactive approach by South Korean entities to secure animal feed corn, addressing their specific requirements outside the framework of international tenders. The flexibility of private deals allows for swift and tailored procurement, ensuring a reliable supply of essential commodities.
The successful conclusion of these private transactions underscores the strategic importance of securing a stable supply of animal feed corn to meet the needs of South Korea’s agricultural and livestock industries.