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Weekly corn, wheat exports hit marketing year lows

The USDA reports combined old and new crop corn export sales for the week ending May 4th were below pre-report expectations, while soybeans and wheat were generally within analysts’ estimates. Physical shipments of soybeans were slightly more than what’s needed to meet USDA projections for the 2016/17 marketing year, but corn and wheat fell short of their respective marks. The 2016/17 marketing year runs through May 2017 for wheat, August for corn, soybeans, and sorghum, and September for soybean products.

Wheat hit a new marketing year low with a net reduction of 24,200 tons (-900,000 bushels). Sales of 30,900 to 66,500 tons were more than offset by cancellations of 700 to 315,400 tons. With less than a month left in the 2016/17 marketing year for wheat, sales are 1.027 billion bushels, compared to 752.3 million late in 2015/16. Sales of 273,400 tons (10.0 million bushels) for 2017/18 delivery were mainly to China (60,000 tons) and Mexico (56,000 tons).

Corn also made a new marketing year low with sales of 277,700 tons (10.9 million bushels), down 64% from the week ending April 27th and 66% lower than the four week average. Mexico purchased 109,400 tons and Japan bought 89,500 tons, while unknown destinations canceled on 76,800 tons. At this point in the marketing year, corn sales are 2.051 billion bushels, compared to 1.534 billion this time last year. Net sales reductions of 55,100 tons (2.2 million bushels) for 2017/18 occurred after a sale to Nicaragua (16,400 tons) were offset by a cancellation from Japan (71,500 tons).

Sorghum sales were 2,000 tons (100,000 bushels). Sales to China (110,300 tons) and Japan (900 tons) were mostly offset by cancellations from unknown destinations (106,000 tons) and Mexico (3,200 tons). This marketing year, sorghum sales are 167.5 million bushels, compared to 273.7 million a year ago.

Soybeans were pegged at 381,400 tons (14.0 million bushels), 20% more than the previous week, but 4% less than the four week average. Unknown destinations picked up 89,400 tons and Japan purchased 60,000 tons. So far this marketing year, soybean sales are 2.097 billion bushels, compared to 1.704 billion last year. Sales of 70,000 tons (2.6 million bushels) for 2017/18 delivery were to China (60,000 tons) and Japan (10,000 tons).

Soybean meal came out at 137,100 tons, up 32% from the week before and 8% higher than the four week average. The Philippines bought 93,200 tons and Colombia picked up 21,900 tons, while unknown destinations canceled on 14,100 tons. Cumulative soybean meal sales are 9,219,500 tons, compared to 9,098,300 a year ago. Sales of 24,700 tons for 2017/18 delivery were to Mexico.

Soybean oil was reported at 29,000 tons, considerably larger than the prior week and 92% above the four week average. Unknown destinations purchased 15,000 tons and Jamaica bought 4,000 tons. 2016/17 soybean oil sales are 861,500 tons, compared to 766,400 in 2015/16.

Net beef sales totaled 10,800 tons. That’s down 35% on the week and a decline of 41% from the four week average. The listed purchasers were South Korea (4,500 tons), Japan (2,000 tons), Mexico (1,400 tons), Canada (1,100 tons), and Taiwan (700 tons), with a cancellation by Panama (100 tons).

Net pork sales totaled 17,600 tons, an increase of 28% from the previous week, but a decrease of 28% from the four week average. The reported buyers were Japan (4,100 tons), South Korea (4,000 tons), Hong Kong (2,400 tons), Mexico (2,400 tons), and Canada (1,300 tons).