Wheat Sales Perk Up, with China as Lead Buyer

Posted on Thu, 12/31/2020 - 08:01

Exports of corn and beef notched marketing year highs the week ending on Christmas Eve. Old-crop bean sales improved notably from the week prior, with China accounting for the bulk of the purchases.

USDA Weekly Export Sales Report

Week Ended Dec. 24, 2020

Corn

Actual Sales (in MT)

2020-21: 964,500

Expectations (in MT)

2020-21: 500,000-1,000,000

Weekly Sales Details

Net sales of 964,500 MT for 2020-21 were up 48% from the previous week, but down 27% from the prior four-week average.  Increases were primarily for unknown destinations (246,000 MT), Japan (117,400 MT, including 88,600 MT switched from unknown destination and decreases of 62,800 MT), Costa Rica (102,200 MT, including decreases of 300 MT), Chile (81,000 MT), and Morocco (60,900 MT, including decreases of 2,300 MT).

Weekly Export Details

Exports of 1,339,600 MT—a marketing-year high—were up 60% from the previous week and 49% from the prior four-week average.  The destinations were primarily to China (492,000 MT), Japan (273,400 MT), Mexico (226,900 MT), Colombia (76,100 MT), and Morocco (65,900 MT).

Comments and Performance Indicators

Export commitments are 135% ahead of year-ago, which compares to 137% ahead last week. USDA projects exports in 2020-21 at 2.650 billion bu., up 49.0% from the previous marketing year.

Wheat

Actual Sales (in MT)

2020-21: 520,600

Expectations (in MT)

2020-21: 200,000-600,000
2021-22: 0-25,000

Weekly Sales Details

Net sales of 520,600 metric tons (MT) for 2020-21 were up 32% from the previous week and 4% from the prior four-week average.  Increases primarily for China (133,200 MT), the Philippines (80,900 MT), Vietnam (77,500 MT), Indonesia (57,000 MT, including 49,000 MT switched from unknown destinations), and Bangladesh (50,800 MT, including 50,000 MT switched from unknown destinations), were offset by reductions for unknown destinations (23,000 MT).

Weekly Export Details

Exports of 434,800 MT were up 19% from the previous week and 8% from the prior four-week average.  The destinations were primarily to the Philippines (104,900 MT), South Korea (82,700 MT), Mexico (76,300 MT), China (68,200 MT), and Bangladesh (50,800 MT).

Comments and Performance Indicators

Export commitments are 9% ahead of year-ago compared with 8% ahead of year-ago the week prior. USDA projects exports in 2020-21 at 985 million bu., up 2.1% from the previous marketing year.

Soybeans

Actual Sales (in MT)

Combined: 1,011,200
2020-21: 695,400
2021-22: 315,800

Expectations (in MT)

2020-21: 200,000-700,000

Weekly Sales Details

Net sales of 695,400 MT for 2020-21 were up 97% from the previous week and 25% from the prior four-week average.  Increases primarily for China (619,700 MT, including 596,000 MT switched from unknown destinations and decreases of 191,000 MT), Egypt (91,800 MT, including 27,100 MT switched from unknown destinations), Indonesia (88,900 MT, including 55,000 MT switched from unknown destinations), the Netherlands (88,600 MT, including 80,000 MT switched from unknown destinations and decreases of 600 MT), and Thailand (78,000 MT, including 66,000 MT switched from unknown destinations and decreases of 3,900 MT), were offset by reductions primarily for unknown destinations (588,100 MT).  For 2021-22, net sales of 315,800 MT were for unknown destinations (185,000 MT), China (126,000 MT), and Japan (4,800 MT).

Weekly Export Details

Exports of 2,438,400 MT were down 3% from the previous week and 5% from the prior four-week average.  The destinations were primarily to China (1,465,000 MT), Egypt (118,300 MT), Thailand (100,600 MT), the Netherlands (88,600 MT), and Japan (85,300 MT).

Comments and Performance Indicators

Export commitments are 86% ahead of year-ago early in the marketing year, which compares to 86% ahead the week prior. USDA projects exports in 2020-21 at 2.200 billion bu., up 31.3% from year-ago.

Soymeal

Actual Sales (in MT)

2020-21: 76,200

Expectations

2020-21: 100,000-350,000

Weekly Sales Details

Net sales of 76,200 MT for 2020-21—a marketing-year low—resulting in increases primarily for the Ecuador (34,300 MT, including 30,000 MT switched from unknown destinations), Guatemala (28,700 MT, including 6,000 MT switched from El Salvador and 5,700 switched from Costa Rica), Morocco (17,500 MT), and Venezuela (10,000 MT), were offset by reductions primarily for unknown destinations (30,000 MT).

Weekly Export Details

Exports of 285,600 MT were down 9% from the previous week, but up 14% from the prior four-week average.  The destinations were primarily to Ecuador (61,300 MT), the Philippines (46,800 MT), the Dominican Republic (31,100 MT), Colombia (30,700 MT), and Mexico (27,400 MT).

Comments and Performance Indicators

Export commitments are 5% ahead of year-ago, which compares to 6% ahead the week prior. USDA projects exports in 2020-21 will slip 0.5% from the previous marketing year.

Soyoil

Actual Sales (in MT)

2020-21: 60,700

Expectations

2020-21: 5,000-40,000

Weekly Sales Details

Net sales of 60,700 MT for 2020-21 primarily for unknown destinations (33,000 MT) and Peru (17,500 MT), were offset by reductions for Canada (700 MT).

Weekly Export Details

Exports of 13,300 MT were primarily to the Dominican Republic (10,300 MT) and Mexico (2,700 MT).

Comments and Performance Indicators

Export commitments for 2020-21 are 15% ahead of year-ago, which compares to even with year-ago the week prior. USDA projects exports will dip 3.1% this season.

Cotton

Actual Sales (in RB)

Combined: 303,000
2020-21: 287,900
2021-22: 15,100

Weekly Sales Details

Net sales of 287,900 RB for 2020-21 were down 30% from the previous week and 24% from the prior four-week average.  Increases were primarily for Vietnam (82,600 RB), Pakistan (51,200 RB), China (43,700 RB, including decreases of 20,400 RB), Turkey (29,700 RB), and Indonesia (22,400 RB, including 100 RB switched from Japan).  For 2021-22, net sales of 15,100 RB were for China (13,200 RB) and Mexico (1,900 RB).

Weekly Export Details

Exports of 275,100 RB were down 1% from the previous week, but up 7% from the prior four-week average.  Exports were primarily to China (144,200 RB), Pakistan (36,600 RB), Vietnam (22,000 RB), Turkey (18,300 RB), and Bangladesh (14,700 RB).

Comments and Performance Indicators

Export commitments are 1% behind 2019-20, which compares to 1% behind last week. USDA forecasts total cotton exports will slide 3.4% to 15.0 million bales this marketing year.

Beef

Actual Sales (in MT)

Combined: 29,300
2020: 14,900
2021: 14,400

Weekly Sales Details

Net sales of 14,900 MT reported for 2020 were up noticeably from the previous week and up 82% from the prior four-week average.  Increases were primarily for Japan (3,900 MT, including decreases of 1,100 MT), China (3,100 MT, including decreases of 300 MT), South Korea (2,900 MT, including decreases of 200 MT), Mexico (1,500 MT, including decreases of 200 MT), and Canada (900 MT, including decreases of 100 MT).  For 2021, net sales of 14,400 MT were primarily for South Korea (9,800 MT), Taiwan (2,300 MT), Japan (700 MT), the Philippines (400 MT), and Canada (300 MT). 

Weekly Export Details

Exports of 27,600 MT—a market-year high—were up noticeably from the previous week and up 63% from the prior four-week average.  The destinations were primarily to Japan (6,900 MT), South Korea (6,200 MT), China (4,400 MT), Mexico (4,300 MT), and Taiwan (1,900 MT).

Comments and Performance Indicators

USDA reported sales totaling 13,200 MT for 2020 and 2021 combined last week. USDA projects 2020 exports will drop 4.0% from year-ago levels.

Pork

Actual Sales (in MT)

Combined: 54,000
2020: 7,700
2021: 46,300

Weekly Sales Details

Net sales of 7,700 MT reported for 2020 were down 53% from the previous week and 73% from the prior four-week average.  Increases primarily for Mexico (10,300 MT, including decreases of 900 MT), El Salvador (1,700 MT), China (1,600 MT, including decreases of 4,000 MT), Japan (900 MT, including decreases of 3,000 MT), and Canada (500 MT, including decreases of 400 MT), were offset by reductions primarily for South Korea (4,200 MT), Chile (1,800 MT), and Colombia (700 MT). For 2021, net sales of 46,300 MT were primarily for China (22,700 MT), South Korea (5,800 MT), Japan (4,000 MT), Mexico (3,800 MT), and Colombia (2,100 MT).

Weekly Export Details

Exports of 39,400 MT were down 3% from the previous week and 1% from the prior four-week average.  The destinations were primarily to Mexico (13,400 MT), China (13,300 MT), Japan (4,100 MT), South Korea (2,300 MT), and Canada (1,500 MT).

Comments and Performance Indicators

Sales totaled 39,700 MT for 2020 and 2021 combined last week. USDA projects exports in 2020 will surge 15.9% from year-ago.