Soybean, wheat export sales hit marketing year lows
U.S. soybean export sales have hit a marketing year low for two consecutive weeks. The USDA says soybean sales during the week ending November 12th fell 6% from the previous week at 1.4 million tons and while China did buy most of the total, overall demand has slowed as prices have shot higher and South American planting has moved forward. Wheat was also a marketing year low, dropping 36% on the week, with the USDA continuing to project record global ending stocks. Beef notched a marketing year high thanks to solid purchases by South Korea, Mexico, and Japan, but pork fell 32% from the week before, not seeing sustained week to week demand from China. Corn exports were higher than the prior week, but sharply lower than the four-week average also following a recent rally and with a cancellation by unknown destinations. The USDA’s next set of supply and demand estimates is out December 10th.
Physical shipments of sorghum and soybeans were more than what’s needed to meet USDA projections for the current marketing year. The 2020/21 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 192,400 tons (7.1 million bushels), down 36% from the week ending November 5th and 62% lower than the four-week average. China purchased 125,000 tons and Mexico bought 28,700 tons. Closing in on the halfway point of the 2020/21 marketing year, wheat sales are 633.8 million bushels, compared to 573.7 million in 2019/20.
Corn was reported at 1,088,600 tons (42.9 million bushels, 11% more than the previous week, but 43% less than the four-week average. Mexico picked up 244,300 tons and Japan purchased 203,400 tons, while unknown destinations canceled on 162,000 tons. Almost a quarter into the marketing year, corn sales are 1.388 billion bushels, compared to 522.1 million this time last year.
Sorghum exports were 117,900 tons. China bought 131,200 tons and Eritrea picked up 30,600 tons, but unknown destinations canceled on 30,000 tons and Japan canceled on 13,900 tons. For the marketing year to date, sorghum sales are 155.0 million bushels, compared to 32.2 million a year ago.
Rice exports were 56,300 tons, a jump of 77% from the week before, but a decline of 7% from the four-week average. Mexico purchased 40,400 tons and Haiti bought 6,200 tons. Rice sales are 1,318,500 tons, compared to 1,766,200 last year.
Soybeans were pegged at 1,387,700 tons (51.0 million bushels), 6% under the prior week and 18% below the four-week average. China picked up 1,060,800 tons and Mexico purchased 155,900 tons, but unknown destinations canceled on 436,600 tons. So far, this marketing year, soybean sales are 1.885 billion bushels, compared to 867.0 million a year ago.
Soybean meal came out at 182,100 tons. Mexico bought 63,100 tons and Venezuela picked up 33,700 tons, while unknown destinations canceled on 55,000 tons. Roughly a month and a half into the marketing year, soybean meal sales are 4,799,200 tons, compared to 4,709,700 last year.
Soybean oil was reported at 45,100 tons. South Korea purchased 25,500 tons and the Dominican Republic bought 19,400 tons. Cumulative soybean oil sales are 361,100 tons, compared to 306,700 a year ago.
Upland cotton was pegged at 131,400 bales, a decrease of 45% on the week and 40% from the four-week average. Vietnam picked up 64,000 bales and Pakistan purchased 33,100 bales, while China canceled on 24,200 bales. 2020/21 upland cotton exports are 9,233,400 bales, compared to 10,121,400 in 2019/20.
Net beef sales totaled 46,400 tons, big increases from both the previous week and the four-week average. The reported buyers were South Korea (17,300 tons), Mexico (10,600 tons), Japan (7,000 tons), South Korea (3,200 tons), and Taiwan (2,500 tons). Shipments of 22,300 tons were also a marketing year high, gaining 58% from the week before and 27% from the four-week average, mainly to South Korea (6,200 tons), Japan (5,900 tons), Mexico (2,600 tons), China (2,200 tons), and Hong Kong (1,700 tons). Sales of 14,100 tons for 2021 delivery were primarily to South Korea (8,500 tons), Japan (2,900 tons), and Hong Kong (900 tons).
Net pork sales totaled 28,900 tons, a drop of 32% from the prior week and 18% from the four-week average. The listed purchasers were Mexico (8,700 tons), Canada (5,100 tons), South Korea (5,000 tons), Japan (3,900 tons), and China (2,100 tons), with a cancellation by Vietnam (100 tons). Shipments of 38,800 tons were 2% higher on the week and 4% above the four-week average, mostly to China (13,100 tons), Mexico (12,000 tons), Japan (4,900 tons), South Korea (2,200 tons), and Canada (1,800 tons). Sales of 2,300 tons for 2021 delivery were mainly to China (900 tons), South Korea (700 tons), and the Philippines (200 tons).