(Reuters) – Importers in Iran snapped up more than 200,000 tonnes of corn and soybeans from South America in recent weeks, the first large grains purchases in months to bolster stocks, traders said on Tuesday.
Tehran signed a nuclear deal with world powers last week but traders said Iran is unlikely to make large purchases of wheat in coming months until there is more clarity over the removal of Western sanctions.
The trade sources said Iranian buyers had picked up about 180,000 tonnes of Brazilian corn and 29,000 tonnes of Argentine soybeans for shipment in July and August.
“Iran has a large feed grain requirement despite a decent cereals harvest this year,” one trader said. “Reduced exports of Indian soymeal to Iran are also keeping soybean imports high.”
The cargoes were currently loading, port and ship tracking data showed.
“There had been enquiries from Iran for South American cargoes some weeks ago, so there has been some interest,” another trade source said.
Towards the end of last year Iran went on a major buying spree, snapping up over half a million tonnes of wheat from world markets. Buying extended into the early part of this year, but has tailed off in recent months. It is likely to be quiet again in the coming months as analysts say it will be months before the layers of Western sanctions on Iran are removed.
International banks and most insurers are likely to steer clear of dealing with Iran for some time, fearing they could face more fines from U.S. regulators.
Iran was never barred from buying food under Western sanctions over its disputed nuclear programme, but EU and U.S. sanctions have made trade more difficult by hindering payments and ocean shipping.
