Beef, soybean meal export sales at marketing year lows

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Beef, soybean meal export sales at marketing year lows

Export sales for a pair of key commodities hit marketing year lows during the week ending July 4^th. The USDA says beef exports were down sharply on the week as several leading buyers did make purchases, but also made small reductions in those purchases. Soybean meal’s marketing year low followed a handful of outright cancelations. Old crop corn showed a week-to-week improvement, while pork, soybeans, soybean oil, wheat, sorghum, and cotton all declined. Export demand is influenced by several factors, including the value of the dollar relative to other currencies, seasonal changes, and geopolitical ties.

Physical shipments of corn were more than what’s needed to meet USDA projections for the current marketing year. The 2024/25 marketing year started June 1^st for wheat, while 2023/24 got underway August 1^st for cotton and rice, September 1^st for beans, corn, and sorghum, and October 1^st for soybean products. The marketing year for beef and pork is the calendar year.

Wheat came out at 240,400 tons (8.8 million bushels). Thailand purchased 60,800 tons and Jordan bought 58,400 tons. Just over a month into the 2024/25 marketing year, wheat exports are 262.3 million bushels, compared to 184.4 million in 2023/24.

Corn was reported at 538,300 tons (21.2 million bushels), 51% higher than the week ending June 27^th, but 13% lower than the four-week average. Colombia picked up 200,600 tons and Japan purchased 188,300 tons, while unknown destinations canceled on 143,200 tons. In the final quarter of the 2023/24 marketing year, corn exports are 2.137 billion bushels, compared to 1.555 billion in 2022/23. Sales of 116,500 tons (4.6 million bushels) for 2024/25 delivery were mainly to Mexico (143,700 tons), with a cancelation by unknown destinations (65,000 tons).

Sorghum sales were 112,300 tons (4.4 million bushels), up sharply from the previous week, but down sharply from the four-week average. China bought 112,400 tons, while South Korea canceled on 100 tons. Sorghum exports are 219.2 million bushels, compared to 93.7 million a year ago.

Rice exports of 27,900 tons were unchanged from the week before and 42% below the four-week average. Nicaragua picked up 23,200 tons and Mexico purchased 5,500 tons. Rice exports are 3,449,300 tons, compared to 1,940,600 this time last year. Sales of 29,300 tons for 2024/25 delivery were to Honduras.

Soybeans were pegged at 208,000 tons (7.6 million bushels) were a decline of 9% from the prior week and 40% from the four-week average. The Netherlands bought 109,900 tons and Mexico picked up 62,100 tons, while unknown destinations canceled on 95,900 tons. So far, this marketing year, soybean exports are 1.653 billion bushels, compared to 1.929 billion a year ago. Sales of 191,300 tons (7 million bushels) for 2024/25 delivery were primarily to Mexico (95,300 tons) and unknown destinations (78,500 tons).

Soybean meal came out at 53,100 tons, a drop of 75% on the week and 72% from the four-week average. Morocco purchased 32,100 tons and Nicaragua bought 10,600 tons, but there were several cancelations, led by unknown destinations (38,000 tons). At this point in the marketing year, soybean meal exports are 13,132,200 tons, compared to 11,798,400 last year. Sales of 22,800 tons for 2024/25 delivery were to unknown destinations (20,000 tons) and Canada (2,800 tons).

Soybean oil was reported at 9,700 tons, 41% under the previous week and 6% less than the four-week average. Venezuela picked up 9,200 tons and Canada purchased 400 tons. Cumulative soybean oil sales are 198,300 tons, compared to 124,400 a year ago. A net reduction of 3,500 tons for 2024/25 followed a cancelation by Mexico.

Upland cotton was pegged at 54,100 bales, down 53% from the week before and 62% from the four-week average. China bought 15,800 bales and Pakistan picked up 10,100 bales. 2023/24 upland cotton exports are 12,992,300 bales, compared to 13,910,500 in 2022/23. Sales of 69,500 bales for 2024/25 delivery were mostly to Mexico (23,400 bales) and Vietnam (10,900 bales).

Net beef sales totaled 8,300 tons, a decrease of 46% from the prior week and 43% from the four-week average. The listed purchasers were South Korea (2,500 tons), China (1,900 tons), Japan (1,400 tons), Canada (800 tons), and Taiwan (400 tons). Shipments of 14,300 tons were a decline of 11% on the week and 13% from the four-week average, mainly to Japan (3,800 tons), South Korea (2,600 tons), China (2,000 tons), Mexico (1,800 tons), and Taiwan (1,800 tons).

Net pork sales totaled 26,500 tons, 55% lower than the previous week and 29% less than the four-week average. The reported buyers were Mexico (9,000 tons), Japan (6,400 tons), China (3,400 tons), Colombia (1,700 tons), and South Korea (1,700 tons). Shipments of 32,400 tons were up 8% from both the week before and the four-week average, primarily to Mexico (14,100 tons), China (4,300 tons), Japan (3,400 tons), South Korea (2,500 tons), and Canada (2,200 tons).