News

Good week for corn, pork export sales

China and Mexico continue to be the leading buyers of U.S. pork. The USDA says nearly 30,000 tons of U.S. pork were sold during the week ending January 30th, with Mexico buying about a third of the total and China purchasing more than 5,000 tons, keeping both nations ahead of Japan and South Korea in terms of year to date purchases. Beef sales were down on the week, falling below 20,000 tons, and while soybean sales were up sharply with a big purchase by Egypt, China didn’t buy any U.S. beans last week and there was a big cancellation by unknown destinations. Corn exports were one and a quarter million tons, mainly to Mexico and Japan. The USDA’s next set of supply and demand estimates is out February 11th.

Overall, corn, soybean, soybean product, and wheat export sales fell within the range of analysts’ estimates. Physical shipments of soybeans were more than what’s needed to meet USDA projections for the current marketing year. The 2019/20 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 338,600 tons (12.4 million bushels), down 48% from the week ending January 23rd and 35% lower than the four-week average. The Philippines purchased 94,300 tons and unknown destinations bought 60,500 tons. Nearly three quarters of the way through the 2019/20 marketing year, wheat sales are 781.4 million bushels, compared to 658.0 million in 2018/19.

Corn was reported at 1,247,800 tons (49.1 million bushels), up 1% from the previous week and 57% higher than the four-week average. Mexico picked up 439,400 tons and Japan purchased 234,400 tons. Closing in on halfway through the marketing year, corn sales are 897.2 million bushels, compared to 1.271 billion this time last year. Sales of 90,700 tons (3.6 million bushels) for 2020/21 delivery were to Japan.

Sorghum sales were 15,300 tons. Japan bought 11,400 tons. Sorghum exports are 45.5 million bushels, compared to 18.8 million a year ago.

Rice exports were 76,300 tons, a significant jump from the week before and 74% larger than the four-week average. Colombia picked up 28,000 tons and Guatemala purchased 16,000 tons. Just outside of the midpoint of the marketing year, rice sales are 2,402,200 tons, compared to 1,907,500 last year.

Soybeans were pegged at 703,800 tons (25.9 million bushels), an increase of 76% from the prior week and 29% from the four-week average. Egypt bought 264,400 tons and the Netherlands picked up 205,600 tons, but unknown destinations canceled on 238,800 tons. So far, this marketing year, soybean sales are 1.187 billion bushels, compared to 1.116 billion a year ago. Sales of 4,000 tons (100,000 bushels) for 2020/21 delivery were to Japan.

Soybean meal came out at 212,700 tons, a decrease of 52% on the week and 44% from the four-week average. Spain purchased 60,000 tons and Morocco bought 47,000 tons. At this point in the marketing year, soybean meal sales are 7,281,400 tons, compared to 6,909,700 last year.

Soybean oil was reported at 52,900 tons. Egypt picked up 30,000 tons and the Dominican Republic purchased 8,900 tons. Cumulative soybean oil sales are 602,300 tons, compared to 405,900 a year ago.

Upland cotton sales were 332,300 bales, 4% less than the previous week, but 28% more than the four-week average. Turkey bought 156,300 bales and Vietnam picked up 57,400 bales. 2019/20 upland cotton exports are 12,846,600 bales, compared to 10,878,800 in 2018/19. Sales of 4,800 bales for 2020/21 delivery were to Pakistan (4,400 bales) and Mexico (400 bales).

Net beef sales totaled 18,700 tons. The reported purchasers were Japan (9,500 tons), South Korea (4,800 tons), Mexico (800 tons), Canada (700 tons), and Chile (500 tons). Exports of 18,600 tons were mainly to Japan (6,100 tons), South Korea (5,800 tons), Mexico (1,800 tons), Taiwan (1,400 tons), and Hong Kong (900 tons).

Net pork sales totaled 29,500 tons. The listed buyers were Mexico (11,500 tons), China (5,100 tons), Japan (4,300 tons), South Korea (4,000 tons), and Canada (1,300 tons). Exports of 42,900 tons were primarily to China (16,200 tons), Mexico (12,300 tons), South Korea (3,900 tons), Japan (3,800 tons), and Canada (2,400 tons).