Below average week for beef, pork export sales
The USDA says pork and beef export sales during the week ending December 3rd were lower than average. Pork did include significant purchases by Mexico, China, and Japan, but those totals did include reductions from initial levels. Beef sales were dropped sharply from the normal pace, while sales for 2021 delivery were solid. Weekly wheat export sales were larger than expected, while corn and soybeans were within analysts’ estimates and all three featured purchases by China. Cotton exports were up sharply on the week, China was the leading buyer, but it was a bearish week for rice and sorghum sales.
Physical shipments of soybeans and wheat 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 616,500 tons (22.7 million bushels), up 38% from the week ending November 26th and 42% higher than the four-week average. Mexico purchased 107,300 tons and unknown destinations bought 104,000 tons. Just over halfway through the 2020/21 marketing year, wheat sales are 702.1 million bushels, compared to 623.1 million in 2019/20.
Corn was reported at 1,362,200 tons (53.6 million bushels), 1% less than the previous week, but 7% more than the four-week average. Unknown destinations picked up 422,200 tons and Mexico purchased 408,100 tons. Slightly over a quarter into the marketing year, corn sales are 1.561 billion bushels, compared to 609.8 million this time last year.
Sorghum sales were 123,000 tons (4.8 million bushels), down 49% from the week before and 45% lower than the four-week average. China bought 67,900 tons and unknown destinations picked up 55,000 tons. For the marketing year to date, sorghum sales are 183.2 million bushels, compared to 37.8 million a year ago.
Rice sales were 66,000 tons, 8% below the prior week, but 15% above the four-week average. Haiti purchased 38,000 tons and Mexico bought 20,000 tons. Rice exports are 1,524,600 tons, compared to 2,004,800 last year.
Soybeans were pegged at 569,000 tons (20.9 million bushels), a jump of 40% on the week, but a drop of 42% from the four-week average. China picked up 685,400 tons and Mexico purchased 178,600 tons, but unknown destinations canceled on 715,200 tons. So far, this marketing year, soybean sales are 1.944 billion bushels, compared to 991.9 million a year ago. Sales of 168,000 tons (6.2 million bushels) were to China (126,000 tons) and unknown destinations (42,000 tons).
Soybean meal came out at 163,600 tons. Morocco bought 43,000 tons and Colombia picked up 22,000 tons. At this point in the marketing year, soybean meal sales are 5,264,800 tons, compared to 5,222,600 last year.
Soybean oil was reported at 8,400 tons. South Korea purchased 11,600 tons and Belgium and Mexico each bought 100 tons, but there were cancellations by Guatemala (2,000 tons), Canada (800 tons), China (400 tons), and Honduras (100 tons). Cumulative soybean oil sales are 398,400 tons, compared to 362,200 a year ago.
Upland cotton was pegged at 403,000 bales, an increase of 45% from the previous week and 61% from the four-week average. China picked up 159,100 bales and Pakistan purchased 75,900 bales. 2020/21 upland cotton sales are 10,269,000 bales, compared to 10,843,700 in 2019/20. Sales of 48,000 bales for 2021/22 delivery were mainly to Pakistan (44,000 bales), with a cancellation by China (13,200 bales).
Net beef sales totaled 3,000 tons, a decrease of 78% from the week before and 80% from the four-week average. The reported buyers were Japan (3,300 tons), Mexico (1,700 tons), Canada (1,300 tons), China (800 tons), and Indonesia (400 tons), with cancellations by South Korea (4,600 tons) and Hong Kong (1,000 tons). Shipments of 18,200 tons were 10% larger than the prior week and steady with the four-week average, primarily to Japan (5,100 tons), South Korea (4,400 tons), Mexico (2,600 tons), China (1,800 tons), and Hong Kong (1,400 tons). Sales of 12,000 tons for 2021 delivery were mostly to South Korea (7,200 tons), Japan (1,600 tons), Hong Kong (1,200 tons), China (1,000 tons), and Mexico (900 tons).
Net pork sales totaled 26,500 tons, down 15% on the week and 13% lower than the four-week average. The listed purchasers were Mexico (10,400 tons), China (6,300 tons), Japan (5,500 tons), Australia (900 tons), and South Korea (900 tons), with a cancellation by Nicaragua (200 tons). Shipments of 42,000 tons were up 23% from the previous week and 11% from the four-week average, mainly to China (13,300 tons), Mexico (13,200 tons), Japan (5,200 tons), South Korea (3,100 tons), and Canada (2,200 tons). Sales of 6,400 tons for 2021 delivery were primarily to South Korea (1,700 tons), Japan (1,200 tons), Colombia (900 tons), the Dominican Republic (700 tons), and China (500 tons).