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New marketing year highs for corn, wheat exports

The USDA says corn and wheat export sales hit new marketing year highs last week. During the week ending December 12th, corn exports topped 1.7 million tons, with Mexico purchasing more than 1.1 million of the weekly total, while wheat export sales were more than 860,000 tons, with the Philippines, Mexico, and unknown destinations leading the way. Soybean exports were up from the week before, with China the top buyer. Beef sales for delivery this year were slightly higher than the previous week, mainly to Japan and South Korea. 2019 pork exports were down, with Mexico the top purchaser, and while China did buy 2019 U.S. pork, they canceled on 2020 U.S. pork. The USDA’s next set of supply and demand estimates is out January 10th.

Overall, wheat, soybean, and soybean oil export sales topped pre-report expectations, while corn was within estimates and soybean meal fell below all guesses. Physical shipments of beans and sorghum were more than what’s needed to meet USDA projections for the current marketing year. The 2019/20 marketing year got underway 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 868,600 tons (31.9 million bushels), up 73% from the week ending December 5th and 95% higher than the four-week average. The Philippines purchased 126,300 tons and Mexico bought 125,000 tons. Just over halfway through the 2019/20 marketing year, wheat sales are 655.0 million bushels, compared to 612.5 million in 2018/19.

Corn was reported at 1,709,400 tons (67.3 million bushels), a jump of 96% from the previous week and a significant rise from the four-week average. Mexico picked up 1,152,700 tons and Japan purchased 214,000 tons. At the start of the second quarter of the marketing year, corn sales are 677.1 million bushels, compared to 1.166 billion this time last year. Sales of 536,100 tons (21.1 million bushels) for 2020/21 delivery were mainly to Mexico (526,000 tons).

Sorghum exports were 83,700 tons (3.3 million bushels). China bought 72,600 tons and Mexico picked up 56,900 tons, but unknown destinations canceled on 55,800 tons. Sorghum sales this marketing year are 41.1 million bushels, compared to 17.2 million a year ago.

Rice was a new marketing year low at 36,900 tons, down 24% from the week before and 56% lower than the four-week average. Haiti purchased 15,200 tons and Guatemala bought 12,000 tons, while Honduras canceled on 2,300 tons. Rice exports are

Soybeans were pegged at 1,430,600 tons (52.6 million bushels), 36% more than the prior week and 18% above the four-week average. China picked up 689,600 tons and unknown destinations purchased 180,800 tons. So far, this marketing year, soybean sales are 1.044 billion bushels, compared to 1.012 billion last year. Sales of 36,300 tons (1.3 million bushels) for 2020/21 delivery were to Japan.

Soybean meal was a new marketing year low at 83,500 tons, a decline of 65% from the previous week and 53% below the four-week average. Colombia bought 31,700 tons and Canada picked up 17,000 tons, but unknown destinations canceled on 16,000 tons. At this point in the marketing year, soybean meal sales are 5,306,000 tons, compared to 6,316,900 a year ago.

Soybean oil came out at 28,000 tons. Colombia purchased 16,700 tons and Mexico bought 3,700 tons. For the marketing year to date, soybean oil sales are 390,200 tons, compared to 374,000 last year.

Upland cotton was reported at 249,400 bales, 10% less than the week before, but 5% more than the four-week average. Turkey picked up 70,400 bales and Pakistan purchased 44,200 bales. Cumulative upland cotton sales are 11,093,200 bales, compared to 9,977,700 a year ago. Sales of 1,100 bales for 2020/21 delivery were to Mexico.

Net beef sales totaled 10,100 tons, up 2% from the prior week, but down 12% from the four-week average. The listed buyers were Japan (4,400 tons), South Korea (2,500 tons), Mexico (1,100 tons), Taiwan (500 tons), and Canada (400 tons), with a cancellation by Hong Kong (200 tons). Sales of 3,100 tons for 2020 delivery were primarily to Mexico (1,400 tons), Japan (700 tons), Taiwan (400 tons), Vietnam (400 tons), and Canada (300 tons), with a cancellation by South Korea (700 tons).

Net pork sales totaled 26,800 tons, a decrease of 8% on the week and 23% from the four-week average. The reported purchasers were Mexico (11,300 tons), China (5,900 tons), Japan (5,800 tons), Canada (1,200 tons), and Colombia (900 tons), with cancellations from Australia (300 tons) and the Philippines (100 tons). Sales of 10,400 tons for 2020 delivery were mostly to South Korea (8,600 tons), Mexico (2,100 tons), Japan (1,300 tons), Australia (1,000 tons), and Colombia (400 tons), with a cancellation by China (4,200 tons).