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Pork exports hit new marketing year low

The USDA reports combined old and new crop soybean export sales for the week ending May 31st were below pre-report expectations. The 2017/18 marketing year for wheat ended May 31st. It continues through August for beans, corn, and sorghum and through September for soybean products.

Old crop wheat had a net reduction of 19,400 tons (-700,000 bushels). Sales of 3,300 to 9,900 tons were more than offset by cancellations of 4,800 to 30,400 tons. The USDA says 1,304,700 tons were carried over into the 2018/19 marketing year. New crop wheat sales were 250,900 tons (9.2 million bushels). Unknown destinations purchased 103,500 tons and the Philippines bought 51,000 tons. Early in the 2018/19 marketing year, wheat sales are 155.2 million bushels, compared to 242.8 million at the outset of 2017/18.

Corn was reported at 838,600 tons (33.0 million bushels), down 16% from the week ending May 24th and 5% lower than the four-week average. Mexico picked up 247,500 tons and Vietnam purchased 136,800 tons, while unknown destinations canceled on 164,400 tons. With a quarter left in the marketing year, corn sales are 2.177 billion bushels, compared to 2.127 billion this time last year. Sales of 418,300 tons (16.5 million bushels) for 2018/19 delivery were mainly to unknown destinations (203,200 tons), along with Japan (60,000 tons) and Vietnam (60,000 tons).

Sorghum sales were 11,900 tons (500,000 bushels). Unknown destinations bought 10,900 tons and China picked up 1,000 tons. Cumulative sorghum sales are 201.0 million bushels, compared to 169.6 million a year ago.

Soybeans were pegged at 164,800 tons (6.1 million bushels), 40% below the previous week and 5% less than the four-week average. The Netherlands purchased 105,000 tons and Mexico bought 31,900 tons, while China canceled on 39,100 tons. For the marketing year to date, soybean sales are 2.044 billion bushels, compared to 2.153 billion last year. Sales of 34,700 tons (1.3 million bushels) for 2018/19 delivery were primarily to Malaysia (15,000 tons) and Indonesia (12,000 tons).

Soybean meal came out at 131,200 tons, 7% under the week before and a decline of 38% from the four-week average. Honduras picked up 32,500 tons and Colombia purchased 31,300 tons, while unknown destinations canceled on 29,500 tons. At this point in the marketing year, soybean meal sales are 11,039,100 tons, compared to 9,666,600 tons a year ago. Sales of 3,900 tons for 2018/19 delivery were to Honduras (3,000 tons) and Guatemala (900 tons).

Soybean oil was reported at 10,000 tons. Venezuela bought 18,000 tons and the Dominican Republic picked up 5,000 tons, but unknown destinations canceled on 22,000 tons. 2017/18 soybean oil sales are 888,000 tons, compared to 926,900 in 2016/17. Sales of 500 tons for 2018/19 delivery were to Canada.

Net beef sales totaled 15,600 tons, a decrease of 50% on the week and down 2% from the four-week average. The listed purchasers were South Korea (7,400 tons), Japan (3,700 tons), Canada (1,700 tons), Mexico (900 tons), and Hong Kong (600 tons), with a cancellation by Chile (100 tons).

Net pork sales were a new marketing year low at 8,600 tons, a drop of 60% from the prior week and 57% below the four-week average. The reported buyers were Mexico (2,300 tons), Japan (1,600 tons), Canada (1,100 tons), Colombia (1,100 tons), and the Philippines (600 tons).