Old crop soybean exports hit marketing year low
The USDA says export sales of several major commodities declined during the week ending May 26th. That’s due to several factors including relative strength in the U.S. dollar against some other major currencies, global supply chain issues, and competition from other exporters. Old crop soybean, soybean oil, wheat, sorghum, and rice sales were all down on the week and pork and beef also fell back from the previous week’s levels, while old crop corn, soybean meal, and cotton moved higher. The USDA’s next set of supply and demand estimates is out a week from today.
The 2021/22 marketing year started June 1st, 2021 for wheat, August 1st, 2021 for cotton and rice, September 1st, 2021 for beans, corn, and sorghum, and October 1st, 2021 for soybean products. The marketing year for beef and pork is the calendar year.
Wheat came out at 700 tons, a sharp drop from the week ending May 19th and 98% below the four-week average. Venezuela bought 7,000 tons and the Philippines purchased 3,000 tons, but Colombia canceled on 15,100 tons. With just a few reporting days left in the 2021/22 marketing year, wheat exports are 714.2 million bushels, compared to 942.3 million in 2020/21. Sales of 363,500 tons (13.4 million bushels) for 2022/23 delivery were mainly to South Korea (108,400 tons), Egypt (60,000 tons), and Thailand (60,000 tons).
Corn was reported at 185,800 tons (7.3 million bushels), up 23% from the previous week, but down 52% from the four-week average. Saudi Arabia picked up 74,800 tons and Japan purchased 70,200 tons, but unknown destinations canceled on 284,900 tons. Closing in on the final quarter of the marketing year, corn exports are 2.332 billion bushels, compared to 2.721 billion this time last year. Sales of 48,700 tons (1.9 million bushels) for 2022/23 delivery were primarily to Colombia (30,000 tons) and Honduras (8,700 tons).
Sorghum sales were 32,700 tons (1.3 million bushels), quite a bit lower than the week before and unchanged from the four-week average. China bought 65,700 tons and Eritrea picked up 30,000 tons, while unknown destinations canceled on 63,000 tons. Sorghum exports are 267.5 million bushels, compared to 284.8 million a year ago.
Rice sales were 20,500 tons, a decline of 31% from the prior week and steady with the four-week average. Honduras purchased 8,000 tons and Haiti bought 7,100 tons. Rice exports are 2,707,800 tons, compared to 3,164,500 last year.
Soybeans were a marketing year low at 111,600 tons (4.1 million bushels), a decrease of 60% on the week and 77% from the four-week average. The Netherlands picked up 68,400 tons and Egypt purchased 54,000 tons, while China canceled on 72,200 tons. So far, this marketing year, soybean exports are 2.19 billion bushels, compared to 2.261 billion a year ago. Sales of 284,000 tons (10.4 million bushels) for 2022/23 delivery were mostly to unknown destinations (105,000 tons) and Pakistan (66,000 tons).
Soybean oil came out at 188,900 tons, 18% more than the previous week, but 13% less than the four-week average. Colombia bought 95,800 tons and the Philippines picked up 45,500 tons. At this point in the marketing year, soybean meal exports are 10,710,000 tons, compared to 10,304,600 tons last year. Sales of 100 tons for 2022/23 delivery were to Honduras.
Soybean oil was reported at 4,200 tons, 32% under the week before and 21% lower than the four-week average. Venezuela purchased 4,500 tons and Mexico bought 4,000 tons, but Guatemala canceled on 6,300 tons. Cumulative soybean oil exports are 675,600 tons, compared to 667,800 a year ago.
Upland cotton was pegged at 354,200 bales, considerably higher than both the prior week and the four-week average. China picked up 144,700 bales and Vietnam purchased 87,100 bales. 2021/22 upland cotton exports are 15,253,000 bales, compared to 15,727,400 in 2020/21. Sales of 109,100 bales for 2022/23 delivery were mainly to China (88,200 bales) and Mexico (12,400 bales).
Net beef sales totaled 17,900 tons, down 11% on the week and 17% from the four-week average. The reported buyers were Japan (6,000 tons), China (4,800 tons), South Korea (2,700 tons), Taiwan (1,100 tons), and Canada (900 tons), with a cancellation by Colombia (100 tons). Shipments of 19,200 tons were 10% higher than the previous week, but 1% lower than the four-week average, primarily to South Korea (5,400 tons), Japan (4,900 tons), China (2,700 tons), Taiwan (1,300 tons), and Mexico (1,100 tons). Sales of 200 tons for 2023 delivery were to Japan.
Net pork sales totaled 31,900 tons, 13% less than the week before, but 15% more than the four-week average. The listed purchasers were Mexico (13,000 tons), China (9,000 tons), South Korea (3,900 tons), Canada (1,900 tons), and Japan (1,900 tons). Shipments of 31,200 tons were a decrease of 6% from the prior week and 4% from the four-week average, mostly to Mexico (14,200 tons), China (4,900 tons), Japan (3,700 tons), South Korea (2,700 tons), and Canada (1,500 tons).