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Beef exports hit marketing year low

 

The USDA reports combined old and new crop corn, soybean, and wheat export sales for the week ending March 15th were within most pre-report estimates. Physical shipments of sorghum were more than what’s needed to meet USDA projections for the 2017/18 marketing year, but beans, corn, and wheat were all short of their respective marks. The current marketing year runs through May for wheat, August for beans, corn, and sorghum, and September for soybean products.

Wheat came out at 265,200 tons (9.7 million bushels), up 63% from the week ending March 8th, but down 1% from the four-week average. Taiwan purchased 94,300 tons and Nigeria bought 49,500 tons. With less than a quarter left in the 2017/18 marketing year, wheat sales are 825.1 million bushels, compared to 947.4 million in 2016/17. Sales of 163,400 tons (6.0 million bushels) for 2018/19 delivery were mainly to Mexico (44,600 tons) and the Dominican Republic (40,000 tons).

Corn was reported at 1,470,200 tons (57.9 million bushels), 41% lower than the previous week and 23% less than the four-week average. South Korea picked up 449,200 tons and Japan purchased 263,100 tons, but unknown destinations canceled on 157,100 tons. Just over halfway through the marketing year, corn sales are 1.776 billion bushels, compared to 1.839 billion this time last year. A net reduction of 14,500 tons (-600,000 bushels) for 2018/19 occurred after a sale to El Salvador (5,500 tons) was more than offset by a cancellation from Colombia (20,000 tons).

Sorghum had a net reduction of 35,800 tons (-1.4 million bushels) with sales to China (11,200 tons) and Japan (10,000 tons) were negated by a cancellation from unknown destinations (57,000 tons). At this point in the marketing year, sorghum sales are 204.2 million bushels, compared to 150.3 million a year ago.

Soybeans were pegged at 759,000 tons (27.9 million bushels), 40% below the week before and 33% under the four-week average. China bought 324,800 tons and Taiwan picked up 82,500 tons, while unknown destinations canceled on 22,700 tons. For the marketing year to date, soybean sales are 1.838 billion bushels, compared to 1.984 billion last year. Sales of 140,000 tons (5.1 million bushels) for 2018/19 delivery were to unknown destinations (139,500 tons) and Thailand (500 tons).

Soybean meal came out at 194,600 tons, 12% higher than the prior week and 21% more than the four-week average. The Philippines purchased 48,700 tons and Guatemala bought 35,700 tons, while Honduras canceled on 17,200 tons. Cumulative soybean meal sales for the current marketing year are 8,510,600 tons, compared to 8,278,700 tons a year ago. Sales of 800 tons for 2018/19 delivery came about after sales of 200 to 6,600 tons were mostly offset by a cancellation from Honduras (6,600 tons).

Soybean oil was reported at 36,500 tons, an increase of 16% from the previous week and 17% above the four-week average. Unknown destinations picked up 30,000 tons and the Dominican Republic purchased 8,900 tons, while Colombia canceled on 4,400 tons. 2017/18 soybean oil sales are 614,800 tons, compared to 737,200 in 2016/17.

Net beef sales were a new marketing year low at 6,000 tons; that’s a drop of 70% on the week and 66% less than the four-week average. The listed buyers were South Korea (2,500 tons), Taiwan (1,800 tons), and Mexico (1,700 tons), with a cancellation by Japan (2,700 tons).

Net pork sales totaled 19,500 tons, a decrease of 38% from the week before and 31% under the four-week average. The reported purchasers were Mexico (5,000 tons), South Korea (4,000 tons), Japan (3,600 tons), Australia (1,700 tons), and Canada (1,100 tons).