Net corn sales reduction as price surge clips demand

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The net sales reduction for 2020-21 wasn’t unexpected and sales for 2021-22 were lighter than expected. On the other hand, wheat sales climbed in the face of rising futures prices, with USDA also reporting a small but unexpected sale for 2022-23. Exports of both corn and wheat were solid.

Old-crop soybean sales held in positive territory, with sales for both marketing years aligning with expectations. Sales of soymeal fell short of expectations for both marketing years, with old-crop sales registering a new low for the marketing year. Soyoil sales were also light, as expected.

Old-crop cotton sales were lackluster, but solid new-crop sales helped lift the overall tally.

Beef sales surged 63% from the prior four-week average, with shipments of the meat hitting a new high for 2021. Pork sales and exports were solid but in line with recent weeks.

USDA Weekly Export Sales Report

Week Ended July 15, 2021

Corn

Actual Sales (in MT)

Combined: -40,800
2020-21: -88,500
2021-22: 47,700

Expectations (in MT)

2020-21: -100,000-300,000
2021-22: 100,000-400,000

Weekly Sales Details

Net sales reductions of 88,500 MT for 2020-21 were down noticeably from the previous week and from the prior four-week average. Increases primarily for Japan (57,300 MT, including 43,700 MT switched from unknown destinations and 12,000 MT - late), Panama (20,700 MT), Colombia (10,800 MT, including decreases of 200 MT), Nicaragua (7,500 MT, switched from Honduras), and Canada (6,700 MT), were more than offset by reductions primarily for China (160,000 MT). For 2021-22, net sales of 47,700 MT were primarily for Japan (18,000 MT), Honduras (9,100 MT), Mexico (9,000 MT), Nicaragua (7,500 MT), and El Salvador (1,300 MT).

 

Exports of 1,003,500 MT were down 6% from the previous week and 22% from the prior four-week average. The destinations were primarily to China (526,000 MT), Mexico (235,900 MT), Japan (95,400 MT, including 12,000 MT - late), Venezuela (47,100 MT), and Nicaragua (27,400 MT).

Comments and Performance Indicators

Export commitments are 60% ahead of year-ago compared with 61% ahead last week. USDA projects exports in 2020-21 at 2.850 billion bu., up 60.4% from the previous marketing year.

Wheat

Actual Sales (in MT)

Combined: 478,200
2021-22: 473,200
2022-23: 5,000

Expectations (in MT)

2021-22: 350,000-600,000

Weekly Sales Details

Net sales of 473,200 metric tons (MT) for 2021-22 were up 11% from the previous week and 44% from the prior four-week average. Increases primarily for China (135,300 MT, including decreases of 3,300 MT), the Philippines (122,800 MT, including decreases of 1,000 MT), Mexico (118,400 MT, including decreases of 2,800 MT), Nigeria (43,700 MT), and Ecuador (41,800 MT, including 41,300 MT switched from unknown destinations), were offset by reductions primarily for Vietnam (53,000 MT). Total net sales for 2022-23, of 5,000 MT were for unknown destinations.

Weekly Export Details

Exports of 471,000 MT were up 29% from the previous week and 28% from the prior four-week average. The destinations were primarily to the Philippines (118,800 MT), Mexico (67,700 MT), China (63,500 MT), Nigeria (48,700 MT), and Ecuador (41,800 MT).

Comments and Performance Indicators

Export commitments are 14% behind year-ago, compared with 14% behind last week. USDA projects exports in 2021-22 at 875 million bu., down 11.8% from the previous marketing year.

Soybeans

Actual Sales (in MT)

Combined: 238,300
2020-21: 62,000
2021-22: 176,300

Expectations (in MT)

2020-21: -50,000-200,000
2021-22: 100,000-450,000

Weekly Sales Details

Net sales of 62,000 MT for 2020-21 were up noticeably from the previous week, but down 22% from the prior four-week average. Increases primarily for Japan (85,300 MT, including 53,200 MT switched from unknown destinations and decreases of 4,400 MT), Mexico (13,100 MT, including decreases of 11,300 MT), Colombia (9,100 MT, including 8,500 MT switched from unknown destinations), Malaysia (5,600 MT), and Taiwan (5,000 MT), were offset by reductions primarily for unknown destinations (58,200 MT). For 2021-22, net sales of 176,300 MT were reported for unknown destinations (97,000 MT), Mexico (67,400 MT), China 6,000 MT), Taiwan (5,000 MT), and Vietnam (900 MT).

Weekly Export Details

Exports of 164,100 MT were down 17% from the previous week and 19% from the prior four-week average. The destinations were primarily to Mexico (60,300 MT), Japan (57,300 MT), Indonesia (22,000 MT), Colombia (9,100 MT), and Vietnam (4,400 MT).

Comments and Performance Indicators

Export commitments are 34% ahead of year-ago, compared with 34% ahead of year-ago last week. USDA projects exports in 2020-21 at 2.270 billion bu., up 35.2% from year-ago.

Soymeal

Actual Sales (in MT)

Combined: 87,400
2020-21: 68,300
2021-22: 19,100

Expectations

2020-21: 75,000-300,000
2021-22: 100,000-200,000

Weekly Sales Details

Net sales of 68,300 MT for 2020-21--a marketing-year low—were down 3% from the previous week and 70% from the prior four-week average. Increases primarily for Ireland (28,500 MT, including 30,000 MT switched from Poland and decreases of 1,500 MT), Colombia (25,000 MT), unknown destinations (12,500 MT), Panama (7,100 MT), and Canada (6,700 MT, including decreases of 900 MT), were offset by reductions primarily for Poland (30,000 MT), the French West Indies (6,500 MT), and Nicaragua (5,500 MT). For 2021-22, net sales of 19,100 MT were primarily for Canada (15,500 MT), Mexico (2,800 MT), and Guatemala (500 MT).

 

Exports of 145,800 MT were down 43% from the previous week and 19% from the prior four-week average. The destinations were primarily to the Philippines (49,400 MT), Ireland (28,500 MT), Canada (21,300 MT), Mexico (17,100 MT), and Honduras (7,500 MT).

Comments and Performance Indicators

Export commitments are 2% ahead of year-ago vs. 1% ahead of year-ago the week prior. USDA projects exports in 2020-21 will climb 3.0% from the previous marketing year.

Soyoil

Actual Sales (in MT)

2020-21: 700

Expectations

2020-21: -20,000-20,000

Weekly Sales Details

Net sales of 700 MT for 2020-21 were down noticeably from the previous week and down 16% from the prior four-week average. Increases were reported for Mexico (400 MT) and Canada (300 MT).

Weekly Export Details

Exports of 2,900 MT were up noticeably from the previous week, but down 13% from the prior four-week average. The destinations were to Mexico (2,400 MT) and Canada (500 MT).

Comments and Performance Indicators

Export commitments for 2020-21 are 46% behind year-ago compared with 45% behind last week. USDA projects exports will fall 37.4% this season.

Cotton

Actual Sales (in RB)

Combined: 292,700
2020-21: 40,800
2021-22: 251,900

Weekly Sales Details

Net sales of 40,000 RB for 2020-21 were up 16% from the previous week, but down 22% from the prior four-week average. Increases primarily for Turkey (15,700 RB, including 500 RB switched from Vietnam and decreases of 600 RB), China (13,200 RB, including 4,100 RB switched from Hong Kong), Pakistan (4,600 RB, including 600 RB switched from Vietnam and 5,100 RB - late), Indonesia (3,700 RB, including 1,100 RB switched from Thailand, 1,000 RB from Vietnam, 900 RB from Pakistan, 700 RB from Japan, and decreases of 1,300 RB), and Vietnam (2,600 RB), were offset by reductions primarily for Hong Kong (4,100 RB) and Mexico (1,000 RB). For 2021-22, net sales of 251,900 RB primarily for Turkey (100,500 RB), Pakistan (73,500 RB), Vietnam (36,300 RB), Mexico (24,500 RB), and China (13,900 RB), were offset by reductions primarily for the Philippines (2,600 RB) and Japan (2,100 RB).

Weekly Export Details

Exports of 246,100 RB were up 32% from the previous week and 2% from the prior four-week average. Exports were primarily to Vietnam (55,700 RB), Turkey (42,300 RB), Mexico (29,700 RB), Pakistan (24,300 RB, including 5,100 RB - late), and China (22,200 RB).

Comments and Performance Indicators

Export commitments are 5% behind 2019-20, which compares to 5% behind the week prior. USDA forecasts total cotton exports will rise 5.7% from year-ago to 16.40 million bales this marketing year.

Beef

Actual Sales (in MT)

2021: 25,100

Weekly Sales Details

Net sales of 25,100 MT reported for 2021 were up noticeably from the previous week and up 63% from the prior four-week average. Increases primarily for South Korea (8,600 MT, including decreases of 500 MT), Japan (5,200 MT, including decreases of 600 MT), China (4,100 MT, including decreases of 100 MT), Canada (2,400 MT, including decreases of 100 MT), and Mexico (1,500 MT, including decreases of 100 MT), were offset by reductions for Belgium (100 MT). Total net sales for 2022, of 300 MT were for Japan.

Weekly Export Details

Exports of 21,400 MT--a marketing-year high--were up 38% from the previous week and 22% from the prior four-week average. The destinations were primarily to South Korea (5,900 MT), Japan (5,500 MT), China (4,000 MT), Taiwan (1,500 MT), and Mexico (1,400 MT).

Comments and Performance Indicators

USDA reported sales totaling 9,300 MT last week. USDA projects 2021 exports will climb 16.0% from year-ago levels.

Pork

Actual Sales (in MT)

2021: 24,500

Weekly Sales Details

Net sales of 24,500 MT reported for 2021 were up noticeably from the previous week, but down 12% from the prior four-week average. Increases primarily for Mexico (10,000 MT, including decreases of 900 MT), Japan (5,200 MT, including decreases of 200 MT), Canada (4,000 MT, including decreases of 500 MT), Colombia (1,900 MT, including decreases of 100 MT), and Chile (900 MT, including decreases of 100 MT), were offset by reductions for China (100 MT) and Peru (100 MT).

Weekly Export Details

Exports of 30,800 MT were up 22% from the previous week and 1% from the prior four-week average. The destinations were primarily to Mexico (12,000 MT), China (5,400 MT), Japan (4,400 MT), South Korea (1,900 MT), and Canada (1,700 MT).

Comments and Performance Indicators

USDA reported net sales of 10,600 MT last week. USDA projects exports in 2021 will climb 3.7% from last year’s strong tally.

 

 

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