Solid week for pork, soybean oil export sales
Pork exports during the week ending March 26th were way above average. The USDA says pork sales of 38,200 tons were down 1% on the week, but up 88% from the four-week average, with China buying about half of the weekly total. China bought a routine amount of U.S. soybeans last week, but sales still improved overall and beef exports were also above a week ago. Corn and soybean meal sales were down on the week and wheat hit a marketing year low, with just over two months left in the marketing year for that commodity. Soybean oil sales were a new marketing year high, driven by strong global vegetable oil demand. The USDA’s next set of supply and demand estimates is currently scheduled for April 9th.
Corn, soybeans, and bean meal sales were within pre-report estimates, while soybean oil top expectations and wheat fell below the anticipated range. Physical shipments of corn and sorghum were above what’s needed to meet 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 72,900 tons (2.7 million bushels), down 90% from the week ending March 19th and 86% lower than the four-week average. Mexico purchased 84,900 tons and the Philippines bought 60,000 tons, while cancellations ranged from 17,300 tons to 125,800 tons. With about two months left in the 2019/20 marketing year, wheat sales are 910.6 million bushels, compared to 893.7 million in 2018/19. Sales of 185,900 tons (6.8 million bushels) for 2020/21 delivery were mainly to China (60,000 tons) and the Philippines (60,000 tons).
Corn was reported at 1,075,400 tons (42.3 million bushels), 41% below the previous week and 13% less than the four-week average. Mexico picked up 314,600 tons and Japan purchased 239,000 tons. More than halfway through the current marketing year, corn sales are 1.256 billion bushels, compared to 1.701 billion this time last year. Sales of 20,300 tons (800,000 bushels) for 2020/21 delivery were primarily to Canada.
Sorghum sales were 200,200 tons (7.9 million bushels). Unknown destinations bought 132,000 tons and China picked up 77,700 tons, while Japan canceled on 9,200 tons. Sorghum exports are 105.2 million bushels, compared to 39.8 million a year ago.
Rice exports were 68,300 tons, down 7% from the week before, but up 35% from the four-week average. Japan purchased 33,300 tons and Nicaragua bought 18,000 tons. Rice sales this marketing year are 2,957,300 tons, compared to 2,632,600 last year.
Soybeans were pegged at 957,400 tons (35.2 million bushels), 6% higher than the prior week and 75% more than the four-week average. Mexico picked up 388,000 tons and China purchased 131,000 tons. So far, this marketing year, soybean sales are 1.354 billion bushels, compared to 1.601 billion a year ago. Sales of 114,000 tons (4.2 million bushels) for 2020/21 delivery were mostly to unknown destinations (65,000 tons) and Mexico (47,500 tons).
Soybean meal came out at 125,200 tons, a decline of 50% on the week and 39% under the four-week average. The United Kingdom bought 29,400 tons and Mexico picked up 25,300 tons, but unknown destinations canceled on 30,000 tons. Closing in on halfway through the marketing year, soybean meal sales are 8,786,900 tons, compared to 9,320,500 last year. A net reduction of 15,900 tons for 2020/21 delivery followed cancellations by Guatemala (15,400 tons) and El Salvador (500 tons).
Soybean oil was reported at 67,000 tons. South Korea purchased 42,000 tons and unknown destinations bought 15,000 tons. Cumulative soybean oil sales are 899,000 tons, compared to 584,700 a year ago. Sales of 2,300 tons for 2020/21 delivery were to Mexico.
Upland cotton exports were 147,500 bales, down 47% from the previous week and 61% lower than the four-week average. Vietnam picked up 77,500 bales and China purchased 24,500 bales. Cumulative upland cotton sales are 15,292,400 bales, compared to 12,887,700 last year. Sales of 111,400 bales for 2020/21 delivery were mainly to Turkey (36,100 bales) and Pakistan (17,200 bales).
Net beef sales totaled 18,200 tons, an increase of 26% on the week and 10% from the four-week average. The listed buyers were Japan (8,500 tons), South Korea (5,700 tons), Hong Kong (1,300 tons), Taiwan (1,200 tons), and Canada (1,100 tons), with reductions by Mexico (100 tons) and the Philippines (100 tons). Shipments of 17,000 tons were up 1% from the week before and 3% from the four-week average, primarily to Japan (6,800 tons), South Korea (4,100 tons), Taiwan (1,600 tons), Mexico (1,200 tons), and Canada (1,000 tons).
Net pork sales totaled 38,200 tons, 1% less than the prior week, but 88% more than the four-week average. The reported buyers were China (18,900 tons), Mexico (8,500 tons), Japan (4,000 tons), South Korea (2,200 tons), and Canada (1,600 tons). Shipments of 40,200 tons were a decrease of 17% from the previous week and 11% lower than the four-week average, mostly to China (16,200 tons), Mexico (9,400 tons), Japan (5,100 tons), South Korea (2,700 tons), and Canada (2,200 tons).