Egypt orders Ukrainian corn seized over quality: paper
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Egypt orders Ukrainian corn seized over quality: paper UPDATED 10 Jun 2009 | 09:11  
Egypt orders Ukrainian corn seized over quality: paper

CAIRO (Reuters) - Egypt's prosecutor ordered 61,000 tonnes of corn from Ukraine be seized at a port on the country's northern Mediterranean coast over a quality issue, the daily Al Masry Al Youm reported on Wednesday.

Egypt had quarantined 11,000 tonnes of Ukrainian and Australian wheat over quality concerns last week.

"The public prosecutor in Damietta ordered the seizure of 61,000 tonnes of corn imported from Ukraine," the daily reported, adding that initial testing of the shipment found seeds in the corn.

An Egyptian official had no immediate comment on the reported seizure.

One Ukrainian analyst dismissed the latest seizure of corn as a dispute over price, not quality.

"This all happened in conjunction with the Russian grain (case), but the problem is not in the quality but in the price on the Egyptian side," Serhiy Feofilov, analyst and director of Ukrainian agricultural consultancy UkrAgroConsult told Reuters.

Officials at Egyptian ports have been scrutinising grain shipments since mid-May, when the prosecutor ordered a probe following the detection of dead bugs and impurities in Russian wheat imported through the Red Sea port of Safaga.

Ukraine has exported a total of 923,901 tonnes of maize to Egypt thus far in the 2008/09 season, including 91,024 in May and 225,982 in April, UkrAgroConsult data show.

"Without doubt if this grain doesn't suit the Egyptians, it can be sent to other markets with ease," Feofilov said.

Over 100,000 tonnes of Russian wheat imported by various Egyptian and international suppliers have been held in ports in Egypt, according to local sources.

The prosecutor is still investigating the issue after ordering the re-exporting of a 52,500 tonne shipment of wheat on Sunday.

The Russian Grain Union has called the seizures provocative and an attempt to lower prices.

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