Market News

Strong week for soybean export sales

USDA reports soybean and soybean meal export sales for the week ending September 27 were larger than expected while corn was within the anticipated range, and wheat and soybean oil were under pre-report estimates. Physical shipments of soybeans were more than what’s needed weekly to meet USDA projections for the 2012/13 marketing year, but corn and wheat fell short of their respective marks.

Wheat came out at 307,000 tons (11.3 million bushels), down 28% from the week ending September 20 and 34% lower than the four week average. The Philippines bought 103,400 tons and Nigeria picked up 55,000 tons. At this point in the 2012/13 marketing year, wheat sales are 480.6 million bushels, compared to 538.9 million in 2011/12.

Corn was reported at 326,900 tons (12.9 million bushels), with Japan the top purchaser at 102,600 tons. So far this marketing year, corn sales are 410.6 million bushels, compared to 673.5 million this time last year.

Soybeans were pegged at 1,296,600 tons (47.6 million bushels), as China bought 1,025,000 tons and Indonesia picked up 83,800 tons. For the marketing year to date, soybean sales are 862.3 million bushels, compared to 617.9 million a year ago. Sales of 6,300 tons (200,000 bushels) for 2013/14 delivery were to Japan (4,500 tons), Vietnam (1,000 tons), and Thailand (800 tons).

Soybean meal came out at 59,000 tons, with sales of 4,500 to 46,200 tons and cancellations of 1,500 and 15,400 tons. With just a few reporting days left for the 2011/12 marketing year, soybean meal sales are 8,950,400 tons, compared to 7,800,300 tons near the end of 2010/11. Sales of 316,100 tons for 2012/13 delivery were mainly to unknown destinations (130,500 tons). The new marketing year for soybean products started October 1.

Old crop soybean oil had a net reduction of 300 tons as the sale of 700 tons to Mexico was offset by Canada’s cancellation on 1,000 tons. 2011/12 soybean oil sales are 633,100 tons, compared to 1,354,000 towards the end of the last marketing year. Sales of 3,600 tons for 2012/13 delivery were to Mexico (2,900 tons) and Guatemala (1,200 tons) with a cancellation by Canada (500 tons).

Net beef sales totaled 15,800 tons, an increase of 61% on the week and up 14% from the four week average. The reported buyers were Mexico (3,400 tons), Japan (2,900 tons), Russia (2,800 tons), Canada (2,600 tons), and South Korea (1,700 tons).