09 January 2014 15:40 [Source: ICIS news]
MEDELLIN, Colombia (ICIS)--US 2014 sorbitol contract prices for liquid and crystal grades were assessed down by 3 cents/lb ($66/tonne) on Thursday, as pricing was heard lower for all grades on the forecast of a corn bumper crop this year.
Liquid sorbitol was assessed by ICIS at 36.50-40.50 cents/lb, while crystal grade was assessed at 93-103 cents/lb.
Contracts are generally negotiated on an annual basis.
Despite higher December forecasts for US corn use for feed and ethanol, the US Department of Agriculture (USDA) forecasts significantly higher US and global corn stocks and lower prices for corn this marketing season.
Analysts expect China's corn imports in 2014 through September to fall 30% short of prior estimates, following Beijing's rejection of US cargoes over the presence of an unapproved genetically modified strain.
Lower overseas purchases by the world's second largest consumer of the grain could drag on Chicago Board of Trade corn prices that plunged almost 40% in 2013, an analyst said.
US sorbitol producers include Archer Daniels Midland (ADM), Ingredion and Roquette America.
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