(Adds comments, more details, table) BEIJING, Nov 2 (Reuters) - China sold 2.699 million tonnes of wheat from state reserves last week, continuing strong sales from the previous week, the National Grain Trade Center said on Monday, as users scrambled to stock up on the grain amid soaring corn prices. China, the world's largest wheat producer and user, sold 67.74% of the wheat put up for auction during a weekly sale, according to a statement on the trade center's website, as feed makers bought the grain to substitute corn, which is getting increasingly expensive on tightening supplies. The sale, made at an average price of 2,356 yuan ($352.04) per tonne, was up from 2,316 yuan per tonne in late June, when the data was available on the official website for this year's wheat auction results. "Sales (of wheat) started to go crazy in the past couple of weeks, with big chunk of buying from feed producers, because corn prices have gone up so much lately," said a China-based trader involved in the auction. "There is no real shortage of grains, but people are grabbing for grains for next year. It is pretty scary," said the trader, who declined to be named as he was not authorised to speak to the media. Auction rates for wheat had been very low this year, at around 10% and below in September, and only started to shoot up lately as corn prices spiked. China's corn futures hit highest record end of last month before edging down slightly. Wheat prices also went up on strong demand from feed sector. Prices in Shandong, a top producer, rose to 2,430 yuan per tonne as of Monday, their highest since February, 2019. Corn prices were expected to keep going up, meaning sales of wheat from the state reserves in coming weeks would remain strong, analysts said. The table below shows the volume of wheat sold at weekly auctions from China's state reserves since June 22 this year. Auction Total up Total Percentage Average price date* for sale sold sold (yuan per (tonnes) (tonnes) tonne) 28-Oct 3983946 2699068 67.74% 2,356 21-Oct 3984332 2924939 73.41% 2,357 14-Oct 4015809 1654115 41.19% 2,347 28-Sep 3013958 367930 12.20% 2,342 23-Sep 3041332 227835 7.49% 2,312 16-Sep 3053816 238510 7.81% 2,310 9-Sep 2075956 184083 8.86% 2,303 2-Sep 2029753 116176 5.72% 2,351 26-Aug 2026128 156314 7.71% 2,348 19-Aug 2051998 318897 15.54% 2,359 12-Aug 1117052 430129 38.50% 2,360 5-Aug 1046249 214342 20.48% 2,346 29-Jul 1098145 229923 20.93% 2,328 22-Jul 1040199 18395 1.76% 2,367 15-Jul 1042977 61109 5.85% 2,346 8-Jul 1058876 29285 2.76% 2,364 1-Jul 1049901 8780 0.83% 2,337 22-Jun 1058852 3959 0.37% 2,316 Auctions results for this year's wheat sale from state reserves were available from June 22 on the trade center website ($1 = 6.6924 Chinese yuan) (Reporting by Hallie Gu and Dominique Patton; Editing by Muralikumar Anantharaman and Uttaresh.V)
Our Standards: The Thomson Reuters Trust Principles.