Corn export sales nosedive to 2013 low

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The USDA reported corn net sales reductions for the second week its weekly “U.S. Export Sales” report released Friday.  According to the report, corn net sales reduction of 113,200 metric tons (MT) for 2012-2013 set a new low for the year, dropping significantly last week’s report, which showed net sales reductions of -15,000 MT

These reductions resulted as increases for Costa Rica (19,100 MT, including 17,900 MT switched from unknown destination), Mexico (16,100 MT), El Salvador (6,000 MT, including 5,500 MT switched from unknown destinations), Taiwan (3,900 MT), and Canada (1,000 MT), were more than offset by decreases for Colombia (85,000 MT) and unknown destinations (72,800 MT). 

Net sales of 328,300 MT for 2013-2014 were primarily for unknown destinations (137,200 MT), Japan (55,400 MT), El Salvador (33,400 MT), Jamaica (28,200 MT), and Venezuela (27,000 MT).  Decreases were reported for Trinidad (6,000 MT).  Exports of 371,400 MT were up 13 percent from the previous week and from the prior 4-week average.  The primary destinations were Mexico (174,800 MT), Japan (102,400 MT), Taiwan (33,300 MT), and Cuba (25,000 MT). 

On Thursday the ag markets proved surprisingly volatile, with a wetter mid-September forecast and looming start of the corn harvest seemed to undercut corn prices. Corn futures bounced slightly in early Friday trading, and after declining to three-week lows on Thursday, the market seemed ready for an early-morning rebound. December corn edged up 2.0 cents to $4.63/bushel around dawn Friday, while July added 1.75 cents to $4.905.

EPORT THIS WEEK LAST WEEK DIFFERENCE
  Sales -113,214 -15,037 -98,177
 
SALES 10 WEEKS 27 WEEKS THIS YEAR
Average 149,282 192,758 177,814
High 391,987 400,347 400,347
Low -113,214 -113,214 -113,214
 
 
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Unlike corn, the report showed that soybean sales bounced back from reductions last week.  Soybeans net sales of 5,100 MT for 2012-2013 resulted as increases for Mexico (7,300 MT), Japan (800 MT), Vietnam (300 MT), Canada (300 MT), and Malaysia (100 MT), were partially offset by decreases for Taiwan (3,700 MT). 

Net sales of 844,100 MT for 2013-2014 were primarily for China (599,500 MT), Russia (90,000 MT), unknown destinations (80,300 MT), and Indonesia (31,000 MT).  Decreases were reported for Mexico (11,600 MT).  Exports of 59,800 MT were down 21 percent from the previous week and 35 percent from the prior 4-week average. 

The primary destinations were Mexico (33,600 MT), Taiwan (13,600 MT), Vietnam (3,400 MT), Indonesia (3,400 MT), and Japan (3,100 MT). 

Soybeans and meal posted an impressive surge Thursday afternoon after improving precipitation prospects for mid-September seemed to weight on the CBOT soy complex earlier in the day.  The soy complex posted modest overnight gains. November soybeans rallied 4.25 cents to $13.7175/bushel early Friday morning, while October soyoil jumped 0.44 cents to 43.70 cents/pound, and October soymeal climbed $0.7 to $435.3/ton.

REPORT THIS WEEK LAST WEEK DIFFERENCE
  Sales 5,119 -3,191 8,310
 
SALES 10 WEEKS 27 WEEKS THIS YEAR
Average 65,548 135,788 197,369
High 128,335 657,724 1,608,774
Low 5,119 5,119 -206,312
 
 
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Freddy    
September, 06, 2013 at 09:57 AM

It's likely that recent coverage of GMO-tainted corn (90% of U.S. market) and GMO-tainted soy (~90% of U.S. market) will have a negative impact on U.S. corn and soy exports.


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