@mukiha

Maize is a commodity internationally traded. Most of this and last year,the government allowed duty free imports,which means the inventory cost should be equal international commodity price/tonne + a small margin (say 10%). It happens,as intimated below by @FundamentAli the management of unga have a commodity company(with a minority interest in unga) which sources their maize. The same company controls management. We are in a moral hazard situation.

You have a small exercise to prove what am telling is true. Take inventory of maize at the company (the report has just been released) divide by the tonnage,and compare with home market price. If less than 1.5 times,I am wrong. Lets compare notes.

The price continues to dip. If it gets to Shs. 5/- buy. One question I have is why would the local shareholding want to selL?

Baada ya dhiki,faaraja

When this thread started, Unga was at 8.05; then it rose to 12.35 by 10th July; dropped back to 7.10 by 2nd Oct; up again to 12.15 on 11th March and today it is at 10.50.

Has anyone made money through this see-saw?

So much mis-information

1) @stonemimi - SeaBoard is American. And it is a HUGE firm... in the grains business for many, many years...

2) @fundamentali - Seaboard did not exercise its option to buy 15% of Unga Holdings... and it has since expired...

3) @kusadikika - Unga has not been a consistent dividend payer like BAT...

4) @stonemimi - Unless the ndegwas (who control Unga Limited) are daft (well, this is the chumz their mzee stole) or get a cut of the transfer pricing... how do you know this is the case?

For the first time in many years Unga is now advertising its products in centenary celebration. They might be having an upper hand on the wheat market at the moment. Whether this translates to profits is another issue.