August 10, 2012

Since the historic drought began decimating the US crop, US corn export sales jumped to a 14-week high last week in the biggest week of sales, ultimately lifting prices to all-time highs.

The sales were bolstered by a huge purchase by Mexico, the largest single-day purchase of US corn in two decades.

Net corn export sales in the week ended August 2 totalled 174,700 tonnes for shipment in the current marketing year which concludes at the end of the month, and 928,700 tonnes for 2012-13 shipment, according to the USDA.

USDA did not include a 533,400-tonne sale to Mexico for 2013-14 shipment, which was reported under the agency's daily reporting guidelines. If that sale were included, the week's sales tally would be the second largest in at least 10 months, according to USDA data.

Net soy export sales last week totalled 300,300 tonnes, up 22% from the prior week's nine-month low but the second-lowest weekly tally this year.

The sales, which included 105,100 tonnes for shipment by the end of the month and 195,200 tonnes for 2012-13 shipment, were below trade estimates for 350,000-450,000 tonnes. Top importer China was the week's biggest buyer.

Net US wheat export sales rose to a seven-week high of 665,300 tonnes, up 28% from the previous week and above trade expectations for 450,000-550,000 tonnes.