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Maize slips, but grain market holds firm
2 hrs ago |
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Commodity prices on the Zimbabwe Mercantile Exchange (ZMX) remained firm during the week ending June 6, supported by strong buyer demand and constrained local supplies across key agricultural commodities, despite a marginal decline in white maize prices.
According to the latest ZMX Weekly Bulletin, the grain market continues to show resilience, with sustained demand for maize, soya beans and other staple commodities underpinning prices even as seasonal harvest deliveries gradually increase.
White maize prices eased by 0,20% to close at US$348 per tonne, while soya bean prices strengthened to US$551 per tonne as robust buyer demand met limited local supplies.
"ZMX commodity prices remained relatively firm during the trading session, with maize closing at US$348/MT despite a slight 0,20% decline, while soya beans strengthened to US$551/MT on the back of strong buyer demand and tight local supply," the exchange said.
The exchange noted that forward demand for white maize continues to provide medium-term support for the market.
"Standing demand of 1 000MT per month from July to December 2026 is already available on the exchange," ZMX said.
"This indicates sustained commercial and industrial buyer interest beyond the current harvest period and may help stabilise maize prices despite increasing seasonal supply inflows."
Market activity remained heavily concentrated in maize and soya beans, which accounted for the largest volumes on both the supply and demand sides.
Farmers currently have 6 510 tonnes of white maize available for sale, with asking prices ranging from US$340 to US$357 per tonne. Buyer demand stands at 7 000 tonnes across Harare, Mutare and Bulawayo, with bids ranging between US$300 and US$350 per tonne.
ZMX said the narrowing gap between buyer and seller expectations points to improving market matching conditions as more harvest deliveries enter the market.
Demand for yellow maize also remained strong, with buyers seeking 3 120 tonnes compared to only 460 tonnes in available supply, reflecting sustained requirements from feed manufacturers and stockfeed producers.
The soya bean market remained particularly tight, with demand of 3 000 tonnes against supply of just 500 tonnes, a factor that continues to support elevated oilseed prices.
Sugar beans were among the most active high-value commodities on the exchange. Supply stood at 1 250 tonnes, priced between US$1 150 and US$1 200 per tonne, while buyers were offering as much as US$1 250 per tonne.
Meanwhile, wheat demand remained active at 1 000 tonnes despite no supplies being listed on the exchange, highlighting continued dependence on imports and carry-over stocks. Wheat prices held firm at US$470 per tonne, broadly in line with import parity levels.
Groundnuts and sugar beans continued to command premium prices of up to US$1 300 per tonne due to limited availability.
"Compared to regional and international markets, ZMX prices continue to trade at a significant premium, particularly for maize and soya beans," the exchange said.
The exchange compared local commodity prices with benchmark markets such as the Chicago Mercantile Exchange and the Johannesburg Stock Exchange, noting that Zimbabwe's higher prices reflect domestic supply constraints, logistics costs and sustained local demand.
The firm pricing environment comes as the government implements the 40:60 Local Grain Procurement and Import Verification Framework, which requires agro-processors and grain buyers to source at least 40% of their grain requirements locally before importing up to 60%, a policy aimed at supporting domestic agricultural production while ensuring adequate grain supplies.
According to the latest ZMX Weekly Bulletin, the grain market continues to show resilience, with sustained demand for maize, soya beans and other staple commodities underpinning prices even as seasonal harvest deliveries gradually increase.
White maize prices eased by 0,20% to close at US$348 per tonne, while soya bean prices strengthened to US$551 per tonne as robust buyer demand met limited local supplies.
"ZMX commodity prices remained relatively firm during the trading session, with maize closing at US$348/MT despite a slight 0,20% decline, while soya beans strengthened to US$551/MT on the back of strong buyer demand and tight local supply," the exchange said.
The exchange noted that forward demand for white maize continues to provide medium-term support for the market.
"Standing demand of 1 000MT per month from July to December 2026 is already available on the exchange," ZMX said.
"This indicates sustained commercial and industrial buyer interest beyond the current harvest period and may help stabilise maize prices despite increasing seasonal supply inflows."
Market activity remained heavily concentrated in maize and soya beans, which accounted for the largest volumes on both the supply and demand sides.
Farmers currently have 6 510 tonnes of white maize available for sale, with asking prices ranging from US$340 to US$357 per tonne. Buyer demand stands at 7 000 tonnes across Harare, Mutare and Bulawayo, with bids ranging between US$300 and US$350 per tonne.
Demand for yellow maize also remained strong, with buyers seeking 3 120 tonnes compared to only 460 tonnes in available supply, reflecting sustained requirements from feed manufacturers and stockfeed producers.
The soya bean market remained particularly tight, with demand of 3 000 tonnes against supply of just 500 tonnes, a factor that continues to support elevated oilseed prices.
Sugar beans were among the most active high-value commodities on the exchange. Supply stood at 1 250 tonnes, priced between US$1 150 and US$1 200 per tonne, while buyers were offering as much as US$1 250 per tonne.
Meanwhile, wheat demand remained active at 1 000 tonnes despite no supplies being listed on the exchange, highlighting continued dependence on imports and carry-over stocks. Wheat prices held firm at US$470 per tonne, broadly in line with import parity levels.
Groundnuts and sugar beans continued to command premium prices of up to US$1 300 per tonne due to limited availability.
"Compared to regional and international markets, ZMX prices continue to trade at a significant premium, particularly for maize and soya beans," the exchange said.
The exchange compared local commodity prices with benchmark markets such as the Chicago Mercantile Exchange and the Johannesburg Stock Exchange, noting that Zimbabwe's higher prices reflect domestic supply constraints, logistics costs and sustained local demand.
The firm pricing environment comes as the government implements the 40:60 Local Grain Procurement and Import Verification Framework, which requires agro-processors and grain buyers to source at least 40% of their grain requirements locally before importing up to 60%, a policy aimed at supporting domestic agricultural production while ensuring adequate grain supplies.
Source - newsday
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