News

Big week for beef, corn export sales

Corn and beef export sales hit marketing year highs during the week ending March 3^rd. The USDA says old crop corn sales topped 2.1 million tons, with substantial purchases by unknown destinations, Japan, and Mexico. Beef sales were 27,500 tons, mainly to China, Japan, and South Korea. Combined old and new crop soybean sales were more than 3 million tons, continuing the spike related to lower South American production and concerns about global vegetable oil availability. Soybean products, wheat, and cotton were also up on the week. The USDA’s next set of supply and demand estimates is out April 8^th.

Physical shipments of corn, sorghum, and soybeans were more than what’s needed to meet USDA projections for the current marketing year. The 2021/22 marketing year started June 1^st, 2021 for wheat, August 1^st, 2021 for cotton and rice, September 1^st, 2021 for beans, corn, and sorghum, and October 1^st, 2021 for soybean products. The marketing year for beef and pork is the calendar year.

Wheat came out at 307,200 tons (11.3 million bushels), up 2% from the week ending February 24^th and 21% from the four-week average. The Philippines purchased 133,100 tons and Mexico bought 111,700 tons. In the final quarter of the 2021/22 marketing year, wheat exports are 683 million bushels, compared to 886.3 million in 2020/21. Sales of 63,000 tons (2.3 million bushels) for 2022/23 delivery were to the Philippines (50,000 tons) and Mexico (13,000 tons).

Corn was reported at 2,143,700 tons (84.4 million bushels), significantly higher than both the previous week and the four-week average. Unknown destinations picked up 800,600 tons and Japan purchased 398,400 tons. Early in the second half of the marketing year, corn exports are 1.976 billion bushels, compared to 2.343 billion a year ago. Sales of 22,900 tons (900,000 bushels) for 2022/23 delivery were to Mexico.

Sorghum sales were 7,100 tons (300,000 bushels), a drop of 92% from the week before and 94% from the four-week average. China bought 72,100 tons, while unknown destinations canceled on 65,000 tons. Sorghum exports are 262.8 million bushels, compared to 233.8 million this time last year.

Rice sales were 36,700 tons, down 48% from the prior week and 61% from the four-week average. Mexico picked up 14,700 tons and Japan purchased 13,300 tons. Rice exports are 2,323,200 tons, compared to 2,540,900 a year ago.

Soybeans were pegged at 2,204,300 tons (81 million bushels), a solid jump on both the week and from the four-week average. China bought 1,906,400 tons and unknown destinations picked up 334,000 tons. So far, this marketing year, soybean exports are 1.924 billion bushels, compared to 2.218 billion last year. Sales of 895,000 tons (32.9 million bushels) for 2022/23 delivery were mainly to China (797,000 tons) and unknown destinations (66,000 tons).

Soybean meal came out at 316,100 tons, quite a bit above the previous week and 49% larger than the four-week average. Unknown destinations purchased 47,500 tons and Vietnam bought 45,000 tons. For the marketing year to date, soybean meal exports are 8,644,500 tons, compared to 8,394,100 a year ago.

Soybean oil was reported at 16,600 tons, more than the week before, but 17% less than the four-week average. India picked up 18,000 tons and South Korea purchased 12,000 tons, while Bangladesh canceled on 18,000 tons. Cumulative soybean oil exports this year are 581,800 tons, compared to 602,900 last year.

Upland cotton was pegged at 354,200 bales, up 2% from the prior week and 51% from the four-week average. China bought 170,300 bales and Turkey picked up 70,500 bales. 2021/22 upland cotton exports are 13,284,400 bales, compared to 13,789,700 in 2020/21. Sales of 68,200 bales for 2022/23 delivery were primarily to Turkey (28,600 bales) and Pakistan (12,600 bales).

Net beef sales totaled 27,500 tons, an increase of 16% on the week and 36% from the four-week average. The reported buyers were China (10,400 tons), Japan (6,400 tons), South Korea (3,700 tons), Canada (1,300 tons), and Taiwan (1,100 tons). Shipments of 15,900 tons were 10% lower than the previous week and 1% less than the four-week average, mostly to South Korea (4,500 tons), Japan (4,100 tons), China (2,600 tons), Taiwan (1,500 tons), and Mexico (1,000 tons).

Net pork sales totaled 25,400 tons, a decrease of 40% from the week before and 4% from the four-week average. The listed purchasers were Mexico (12,800 tons), China (3,600 tons), South Korea (2,100 tons), Japan (2,000 tons), and Honduras (1,200 tons), with a cancellation by Chile (100 tons). Shipments of 28,500 tons were down 5% from the prior week and 6% from the four-week average, mainly to Mexico (11,900 tons), Japan (5,200 tons), China (3,600 tons), South Korea (2,600 tons), and Canada (1,500 tons).