News

Good week for export sales, shipments remain slow

 

The USDA reports combined old and new crop corn, soybean, and wheat export sales for the week ending February 8th were above most pre-report estimates, while soybean products were within expectations. Physical shipments of corn, soybeans, and wheat remain behind USDA projections for the 2017/18 marketing year. The current marketing year runs through May for wheat, August for corn, beans, and sorghum, and September for soybean products.

Wheat came out at 311,100 tons (11.4 million bushels), down 21% from the week ending February 1st and 2% lower than the four week average. Japan purchased 84,800 tons and Indonesia bought 83,300 tons, but unknown destinations and South Korea both made significant cancellations, of 130,500 and 81,200 tons, respectively. At this point in the 2017/18 marketing year, wheat sales are 775.9 million bushels, compared to 879.5 million in 2016/17. Sales of 110,800 tons (4.1 million bushels) for 2018/19 delivery were primarily to South Korea (77,300 tons) and Nigeria (20,000 tons).

Corn was reported at 1,974,500 tons (77.7 million bushels), up 12% from the previous week and 14% higher than the four week average. Japan picked up 453,300 tons and unknown destinations purchased 432,900 tons. For the marketing year to date, corn sales are 1.417 billion bushels, compared to 1.652 billion this time last year. Sales of 97,500 tons (3.8 million bushels) for 2018/19 delivery were to Japan.

Sorghum sales were 126,900 tons (5.0 million bushels), 73% more than the prior week, but 24% less than the four week average. China bought 116,200 tons and Japan picked up 10,700 tons. Cumulative sorghum sales are 211.8 million bushels, compared to 133.3 million a year ago.

Soybeans were pegged at 640,400 tons (23.5 million bushels), 4% below the week before and 8% under the four week average. China purchased 156,900 tons and Mexico bought 133,400 tons, but unknown destinations canceled on 159,300 tons. So far, this marketing year, soybean sales are 1.647 billion bushels, compared to 1.901 billion last year. Sales of 197,100 tons for 2018/19 delivery were to unknown destinations (197,000 tons) and Japan (100 tons).

Soybean meal came out at 210,000 tons, an increase of 31% on the week, but a decrease of 26% from the four week average. Morocco picked up 34,500 tons and Ireland purchased 32,800 tons, while unknown destinations canceled on 29,900 tons. Total soybean meal sales this marketing year are 7,671,100 tons, compared to 7,097,900 a year ago.

Soybean oil was reported at 24,400 tons, a big jump from the previous week, but an 8% decline from the four week average. South Korea bought 15,000 tons and Colombia picked up 3,900 tons. 2017/18 soybean oil sales are 453,200 tons, compared to 707,800 in 2016/17. A net reduction of 800 tons for 2018/19 occurred after a cancellation by Canada.

Net beef sales totaled 10,400 tons, down 44% from the week before and 52% lower than the four week average. The listed purchasers were Japan (2,400 tons), Mexico (2,300 tons), Hong Kong (1,300 tons), Taiwan (1,300 tons), and Canada (1,200 tons).

Net pork sales totaled 21,300 tons, 68% more than the prior week, but 16% less than the four week average. The reported buyers were Mexico (6,800 tons), Japan (4,000 tons), South Korea (2,700 tons), Australia (2,400 tons), and Colombia (1,400 tons).