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China Turns Away More U.S. Corn

Posted: 11/19/13

By: messany


The world's most populous nation has refused a cargo of U.S. corn.

According to published reports widely coming to light Monday, China has rejected a cargo of U.S. corn due to its genetically modified composition, which is not approved for import, a source tells Reuters.

"It's confirmed. It's one cargo and MIR 162 was the problem," the source revealed to Reuters, which confirms that the GMO discovery comes at a time of surging U.S. corn imports by China.

Nonetheless, the skirmish over today's corn cargo rejection should be resolved rather quickly.

"It is a minor hiccup in what will otherwise be a smooth import process. They need our corn, they've got the orders already placed. We don't think this is the start of some long-term major disruption," explains Rich Nelson, chief strategist with Allendale, Inc.

Nonetheless, the news took a toll on the Chicago Board of Trade corn futures markets.

December corn futures fell 10 cents to a three-year low at $4.12 per bushel.

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