News

Strong week for new crop corn, soybean exports

The USDA reports combined old and new crop soybean export sales for the week ending August 31st were above pre-report estimates, while corn and wheat were within expectations. The 2016/17 marketing year for beans, corn, and sorghum ended August 31st.

Wheat came out at 375,500 tons (13.8 million bushels), down 30% from the week ending August 23rd and 26% lower than the four week average. South Korea purchased 75,500 tons and Nigeria bought 70,500 tons, while Indonesia canceled on 67,200 tons. For the 2017/18 marketing year to date, wheat sales are 457.8 million bushels, compared to 459.5 million in 2016/17.

Old crop corn had a net reduction of 358,600 tons (-14.1 million bushels), with cancellations of 88,900 to 214,600 tons offsetting sales of 87,600 to 3,400 tons. 1,010,500 tons were carried over from 2016/17 to 2017/18 and weekly net 2017/18 sales were 1,480,000 tons 58.3 million bushels. At the outset of the 2017/18 marketing year, corn sales are 372.3 million bushels, compared to 643.4 million in 2016/17.

Old crop sorghum sales were 500 tons, with China buying 700 and Japan cancelling on 200 tons. Outstanding sales of 342,300 tons were carried over into the new marketing year and net 2017/18 sales of 57,400 tons (2.3 million bushels) were to China. Sales for the new marketing year are 34.0 million bushels, compared to 25.1 million this time last year.

Old crop soybean sales had a net reduction of 366,400 tons (-13.5 million bushels) with cancellations of 1,600 to 452,600 tons offsetting sales of145,400 to 5,000 tons. A total of 2,359,000 tons were carried over from 2016/17 to 2017/18 and weekly net 2017/18 sales were 1,523,000 tons (56.0 million bushels). Early in the marketing year, soybean sales are 565.2 million bushels, compared to 827.7 million a year ago.

Soybean meal was reported at 62,500 tons, 13% less than the previous week, but 1% more than the four week average. Canada picked up 41,800 tons and Mexico purchased 11,500 tons, while Venezuela canceled on 10,000 tons. Cumulative soybean meal sales are 10,451,400 tons, compared to 10,463,200 with about a month left in 2015/16. Sales of 211,900 tons for 2017/18 delivery were mainly to the Philippines (88,700 tons) and Guatemala (29,800 tons).

Soybean oil was pegged at 300 tons, a drop of 93% on the week and 99% from the four week average. Canada and Mexico both bought 400 tons, while the Dominican Republic reportedly canceled on 600 tons. 2016/17 soybean oil sales are 1,126,800 tons, compared to 1,169,400 late last year. Sales of 600 tons for 2017/18 delivery were to the Dominican Republic.

Net beef sales totaled 5,900 tons, a decrease of 77% from the week before and 67% under the four week average. The listed purchasers were Japan (6,600 tons), South Korea (4,500 tons), Hong Kong (3,400 tons), and Taiwan (800 tons), with cancellations by Egypt (9,200 tons), Brazil (700 tons), and Indonesia (600 tons).

Net pork sales totaled 25,700 tons, down 1% from the prior week, but up 24% from the four week average. The reported buyers were Japan (10,100 tons), South Korea (5,300 tons), Mexico (3,500 tons), Canada (2,200 tons), and Colombia (900 tons).