Corn, soybean oil exports hit marketing year highs
Corn and soybean oil exports hit marketing year highs during the week ending March 19th. The USDA says corn sales topped 1.8 million tons, primarily to China, and soybean oil sales were more than 55,000 tons, mainly to South Korea. China was also the biggest weekly buyer for U.S. wheat and sorghum and was the second leading purchaser of soybeans. Pork exports were up modestly on the week, led by Mexico and China, while beef sales continued to slide, down more than 30% from the week before. The USDA’s next set of supply and demand estimates is currently scheduled for April 9th.
Overall, 2019/20 sales of corn, soybeans, soybean oil, and wheat were above expectations, while soybean meal was towards the high end of estimates. Physical shipments of beans, corn, sorghum, and wheat were less than what’s needed to meet USDA projections for the marketing year. The current marketing year started June 1st for wheat, August 1st for cotton and rice, September 1st for beans, corn, and sorghum, and October 1st for soybean products.
Wheat came out at 740,000 tons (27.2 million bushels), up sharply from the week ending March 12th and 73% higher than the four-week average. China purchased 200,000 tons and South Korea bought 146,100 tons. With less than a quarter left in the 2019/20 marketing year, wheat sales are 907.9 million bushels, compared to 867.8 million in 2018/19. Sales of 366,400 tons (13.5 million bushels) for 2020/21 delivery were mainly to China (285,000 tons) and unknown destinations (36,800 tons).
Corn was reported at 1,814,300 tons (71.4 million bushels), a big jump from the previous week and 81% larger than the four-week average. China picked up 756,000 tons and Japan purchased 333,000 tons. More than halfway through the current marketing year, corn sales are 1.214 billion bushels, compared to 1.679 billion a year ago. Sales of 82,900 tons (3.3 million bushels) for 2020/21 delivery were to Japan (91,400 tons) with a cancellation by Guatemala (8,500 tons).
Sorghum exports were 107,600 tons (4.2 million bushels). China bought 121,000 tons and Japan picked up 1,300 tons, while unknown destinations canceled on 15,000 tons. Sorghum sales are 97.3 million bushels, compared to 37.3 million this time last year.
Rice sales were 73,000 tons, 52% above the week before and 61% more than the four-week average. Japan purchased 15,400 tons and Haiti bought 15,200 tons. Rice exports are 2,889,000 tons, compared to 2,691,300 a year ago.
Soybeans were pegged at 904,300 tons (33.2 million bushels), an increase of 43% from the prior week and a significant leap from the four-week average. Unknown destinations picked up 406,100 tons and China purchased 199,300 tons. So far, this marketing year, soybean sales are 1.319 billion bushels, compared to 1.529 billion last year. Sales of 500 tons for 2020/21 delivery were to Japan.
Soybean meal came out at 251,200 tons, up quite a bit from the previous week and 39% higher than the four-week average. The Philippines bought 50,500 tons and Indonesia picked up 49,500 tons. At this point in the marketing year, soybean meal sales are 8,661,700 tons, compared to 9,130,200 a year ago. Sales of 16,000 tons for 2020/21 delivery were primarily to Guatemala (15,600 tons).
Soybean oil was reported at 55,900 tons. South Korea purchased 35,000 tons and Jamaica bought 10,500 tons. Cumulative soybean oil sales are 832,000 tons, compared to 548,000 last year.
Upland cotton sales were pegged at 277,100 bales, down 19% from the week before and 23% lower than the four-week average. Vietnam picked up 74,900 bales and Turkey purchased 55,200 bales. 2019/20 upland cotton sales are 15,144,900 bales, compared to 12,565,500 in 2018/19. Sales of 120,100 bales were mostly to Pakistan (26,400 bales) and China (17,600 bales).
Net beef sales totaled 14,500 tons, a decrease of 32% on the week and 12% from the four-week average. The reported buyers were South Korea (7,200 tons), Japan (5,100 tons), Taiwan (700 tons), Canada (600 tons), and Hong Kong (300 tons), with a cancellation by Vietnam (100 tons). Shipments of 16,800 tons were up 1% from the previous week and steady with the four-week average, mainly to Japan (7,100 tons), South Korea (4,000 tons), Mexico (1,400 tons), Taiwan (1,200 tons), and Canada (1,000 tons).
Net pork sales totaled 38,600 tons, up 8% from the week before and 89% more than the four-week average. The listed purchasers were Mexico (11,100 tons), China (9,500 tons), Japan (9,400 tons), Canada (2,400 tons), and Chile (1,200 tons). Shipments of 48,600 tons were a marketing year high, 13% higher than the prior week and 12% above the four-week average, mainly to China (23,000 tons), Mexico (9,600 tons), Japan (5,400 tons), South Korea (3,500 tons), and Canada (2,400 tons).