Beef, pork exports see week-to-week improvement
The USDA says meat export sales bounced back during the week ending July 15th. That’s at least partially due to it being a full business week, with the previous week including the observance of Independence Day, along with a dip in the U.S. dollar, which makes U.S. goods more competitive on the export market. Beef sales of just over 25,000 tons were mainly to South Korea, Japan, and China, while pork sales of 24,500 tons were primarily to Mexico, Japan, and Canada. Old crop corn and soybean sales continued to show the impact of heavy global competition, while wheat exports were larger than average, with China leading the way. The USDA’s next set of supply and demand estimates is out August 12th.
Physical shipments of wheat were above what’s needed to meet projections for the current marketing year. The 2021/22 marketing year started June 1st, 2021 for wheat, while 2020/21 got underway August 1st, 2020 for cotton and rice, September 1st, 2020 for corn, sorghum, and soybeans, and October 1st, 2020 for soybean products.
Wheat came out at 473,200 tons (17.4 million bushels), up 11% from the week ending July 8th and 44% from the four-week average. China purchased 135,300 tons and the Philippines bought 122,800 tons. A month and a half into the 2021/22 marketing year, wheat sales are 278.8 million bushels, compared to 324.9 million in 2020/21. Sales of 5,000 tons for 2022/23 delivery were to unknown destinations.
Corn had a net reduction of 88,500 tons (-3.5 million bushels). Japan picked up 57,300 tons and Panama purchased 20,700 tons, but China canceled on 160,000 tons. With a month and a half left in the 2020/21 marketing year, corn sales are 2.747 billion bushels, compared to 1.721 billion late in 2019/20. Sales of 47,400 tons (1.9 million bushels) for 2021/22 delivery were mainly to Japan (18,000 tons) and Honduras (9,100 tons).
Sorghum had a net reduction of 52,200 tons (-2.1 million bushels). Mexico bought 900 tons and Japan picked up 100 tons, but China canceled on 53,200 tons. Sorghum exports are 282.6 million bushels, compared to 171.7 million this time last year.
Rice sales were 73,200 tons, higher than both the previous week and the four-week average. Haiti purchased 27,500 tons and Venezuela bought 25,100 tons. Rice exports are 3,428,300 tons, compared to 3,363,400 a year ago. Sales of 5,400 tons for 2021/22 delivery were primarily to Guatemala (5,000 tons) and Costa Rica (200 tons).
Soybeans were pegged at 62,000 tons, quote a bit more than the week before, but 22% less than the four-week average. Japan picked up 85,300 tons and Mexico purchased 13,100 tons, while unknown destinations canceled on 58,200 tons. So far, this marketing year, soybean sales are 2.278 billion bushels, compared to 1.705 billion last year. Sales of 176,300 tons (6.5 million bushels) for 2021/22 delivery were mostly to unknown destinations (97,000 tons) and Mexico (67,400 tons).
Soybean meal sales were a marketing year low at 68,300 tons, which was 3% lower than the prior week and 70% under the four-week average. Ireland bought 28,500 tons and Colombia picked up 25,000 tons, but Poland canceled on 30,000 tons. In the final quarter of the marketing year, soybean meal sales are 11,589,600 tons, compared to 11,410,200 a year ago. Sales of 19,100 tons for 2021/22 delivery were mostly to Canada (15,500 tons) and Mexico (2,800 tons).
Soybean oil came out at 700 tons, a significant decline on both the week and from the four-week average. Mexico purchased 400 tons and Canada bought 300 tons. Cumulative soybean oil sales are 677,200 tons, compared to 1,244,100 last year.
Upland cotton was reported at 40,000 bales, 16% higher than the previous week, but 22% lower than the four-week average. Turkey picked up 15,700 bales and China purchased 13,200 bales. 2020/21 upland cotton exports are 16,190,800 bales, compared to 17,006,200 late in 2019/20. Sales of 251,900 bales for 2021/22 delivery were mainly to Turkey (100,500 bales) and Pakistan (73,500 bales).
Net beef sales totaled 25,100 tons, a solid increase from the week before and 63% larger than the four-week average. The listed buyers were South Korea (8,600 tons), Japan (5,200 tons), China (4,100 tons), Canada (2,400 tons), and Mexico (1,500 tons), with a cancellation by Belgium (100 tons). Shipments of 21,400 tons were up 38% from the prior week and 22% from the four-week average, primarily to South Korea (5,900 tons), Japan (5,500 tons), China (4,000 tons), Taiwan (1,500 tons), and Mexico (1,400 tons). Sales of 300 tons for 2022 delivery were to Japan.
Net pork sales totaled 24,500 tons, a jump on the week, but 12% lower than the four-week average. The reported purchasers were Mexico (10,000 tons), Japan (5,200 tons), Canada (4,000 tons), Colombia (1,900 tons), and Chile (900 tons), with cancellations by China (100 tons) and Peru (100 tons). Shipments of 30,800 tons were 22% more than the previous week and 1% higher than the four-week average, mostly to Mexico (12,000 tons), China (5,400 tons), Japan (4,400 tons), South Korea (1,900 tons), and Canada (1,700 tons).