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Soybean oil export sales hit marketing year high

U.S. export sales were mixed during the week ending February 29^th. Global trade in most major commodities continues to be impacted by the strength of the dollar relative to the currencies of other major exporters, big crops out of South America and Russia, and trader barriers. Soybean oil did hit a marketing year high, with corn, soybeans, beef, pork, and rice seeing week to week increases, while wheat, sorghum, soybean meal, and cotton sales were down on the week. The USDA’s March supply and demand update is out Friday.

Physical shipments of corn and soybeans were more than what’s needed to meet projections for the current marketing year. The 2023/24 marketing year got underway June 1^st for wheat, August 1^st for cotton and rice, September 1^st for beans, corn, and sorghum, and October 1^st for soybean products. The marketing year for beef and pork is the calendar year.

Wheat came out at 271,100 tons (10 million bushels), down 17% from the week ending February 22^nd and 16% from the four-week average. The Philippines purchased 107,000 tons and South Korea bought 91,500 tons. On the final reporting day of the third quarter of the 2023/24 marketing year, wheat exports are 677.3 million bushels, compared to 639.4 million in 2022/23. Sales of 64,000 tons (2.4 million bushels) for 2024/25 delivery were to Mexico (34,000 tons) and Nicaragua (30,000 tons).

Corn was reported at 1,109,600 tons (43.7 million bushels), 3% higher than the previous week and unchanged from the four-week average. Japan picked up 498,900 tons and Mexico purchased 281,700 tons. Entering the second half of the marketing year, corn exports are 1.544 billion bushels, compared to 1.207 billion a year ago.

Sorghum sales were 79,500 tons (3.1 million bushels), 82% lower than the week before and 38% below the four-week average. China bought 134,500 tons, but unknown destinations canceled on 55,000 tons. Sorghum exports are 194.1 million bushels, compared to 47.6 million this time last year.

Rice sales were 84,600 tons, 39% more than the prior week, but 4% less than the four-week average. Japan picked up 17,900 tons and Mexico purchased 15,400 tons. Rice exports are 2,511,700 tons, compared to 1,527,700 a year ago.

Soybeans were pegged at 613,500 tons (22.5 million bushels), a solid increase both on the week and from the four-week average. China bought 269,100 tons and Germany picked up 204,300 tons, while unknown destinations canceled on 108,200 tons. So far, this marketing year, soybean exports are 1.449 billion bushels, compared to 1.788 billion last year. Sales of 66,000 tons (2.4 million bushels) for 2024/25 delivery were to unknown destinations.

Soybean meal came out at 157,700 tons, a decline of 65% from the previous week and 45% from the four-week average. Colombia purchased 41,100 tons and Ireland bought 22,300 tons, but unknown destinations canceled on 41,900 tons. Late in the first half of the marketing year, soybean meal exports are 9,616,500 tons, compared to 8,045,300 a year ago. Sales of 64,700 tons for 2024/25 delivery were to Canada.

Soybean oil was reported at 29,200 tons. Colombia picked up 14,500 tons and Mexico purchased 7,000 tons. Cumulative soybean oil exports are 61,400 tons, compared to 59,300 last year.

Upland cotton was pegged at 52,000 bales, up 30% from the week before, but down 66% from the four-week average. Bangladesh bought 34,300 bales and Vietnam picked up 24,300 bales, but China canceled on 30,300 bales. 2023/24 upland cotton exports are 10,529,400 bales, compared to 10,643,400 in 2022/23. Sales of 15,100 bales for 2024/25 delivery were mainly to Indonesia (13,200 bales) and South Korea (5,300 bales).

Net beef sales totaled 14,000 tons, 14% higher than the prior week, but 10% lower than the four-week average. The reported purchasers were South Korea (4,300 tons), Japan (2,300 tons), Taiwan (1,700 tons), China (1,500 tons), and Mexico (1,100 tons). Shipments of 16,000 tons were a gain of 1% on the week and a hold from the four-week average, primarily to South Korea (4,300 tons), Japan (4,100 tons), China (2,000 tons), Mexico (1,900 tons), and Taiwan (1,300 tons).

Net pork sales totaled 36,400 tons, a rise of 12% from the previous week and 9% from the four-week average. The listed buyers were China (12,600 tons), Mexico (11,200 tons), Vietnam (5,000 tons), Japan (1,700 tons), and South Korea (1,300 tons). Shipments of 32,000 tons were a dip of 4% from the week before and 15% from the four-week average, mostly to Mexico (10,800 tons), South Korea (5,200 tons), Japan (4,400 tons), China (3,600 tons), and Canada (1,400 tons).