March 30, 2012

US corn exports increase 27%

Corn exports of 643,700 tonnes were 27% higher from last week, but down 18% from the previous four-week average, according to the USDA's US Export Sales report. 

The primary destinations were Mexico (245,100 tonnes), South Korea (115,700 tonnes), Japan (108,300 tonnes), Venezuela (57,500 tonnes), Guatemala (54,400 tonnes), and El Salvador (19,800 tonnes).

Corn net sales of 130,700 tonnes--a marketing-year low--resulted as increases for Japan (126,200 tonnes, including 86,500 tonnes switched from unknown destinations and decreases of 1,200 tonnes), Mexico (48,100 tonnes), El Salvador (40,500 tonnes, including 18,500 tonnes switched from unknown destinations and decreases of 1,300 tonnes), Guatemala (33,600 tonnes, including 52,100 tonnes switched from unknown destinations and decreases of 20,800 tonnes), Taiwan (27,800 tonnes), and Venezuela (20,000 tonnes), were partially offset by decreases for unknown destinations (158,900 tonnes), the Dominican Republic (38,500 tonnes), and Costa Rica (12,800 tonnes).

Net sales of 27,000 tonnes for delivery in the 2012/2013 marketing year were reported for Guatemala (12,000 tonnes), El Salvador (9,000 tonnes), and Costa Rica (6,000 tonnes). 

Corn futures finished lower on Wednesday (Mar 28), led by the new-crop December contract. On Thursday futures opened US$0.03-$0.06 lower as the market is considered to be oversold. a significant bounce in prices is unlikely ahead of Friday's Grain Stocks and Prospective Plantings report.