CHICAGO: Export premiums for soyabeans shipped from the US Gulf Coast fell on Wednesday on weak export demand and ample available supplies at Gulf elevators, traders said.
CIF soyabean basis bids fell by another 2 to 3 cents after tumbling by 4 cents a bushel on Tuesday for February and March loadings. Values were pressured by ample stocks at the Gulf following active farmer selling this month, traders said.
Brazilian and Argentine soyabeans are offered at prices well below Gulf prices so demand for US shipments is limited.
Brazilian soya exports this month are expected to top 3.5 million tonnes despite rain-delayed loadings at some ports, versus about 2.8 million last February, traders said.
Corn export premiums at the Gulf were also weighed down by ample supplies in the export pipeline. Demand for US supplies was good as prices were competitive on the world market through the spring.
The USDA on Wednesday confirmed private sales of 110,000 tonnes of US corn to Colombia for 2015/16 delivery, the eighth daily sale of at least 100,000 tonnes this month.
Wheat export premiums were flat to lower on sluggish demand for US shipments, with rival exporters offering cargoes at lower prices. Egypt’s GASC set a tender to buy wheat for March 26 to April 4 shipment, with results expected on Thursday. Traders did not expect any US wheat to be offered.
The USDA is scheduled to release last week’s export sales totals early on Thursday. Analysts expect corn sales of 700,000 to 1.2 million tonnes, soyabeans at 300,000 to 700,000 tonnes and wheat at 200,000 to 400,000 tonnes.
FOB Gulf soyabeans loaded in March were offered at 53 cents a bushel over CBOT March futures, which closed 1-3/4 cents lower at $8.67-1/2 a bushel. Corn offers for March shipment were around 53 cents over CBOT March futures, which ended 2-1/4 cents lower at $3.59-3/4 a bushel. March shipments of soft red winter wheat at the Gulf were offered at about 60 cents over CBOT March futures, which closed 5-1/4 cents lower at $4.42-3/4 a bushel.
Spot hard red winter wheat offers were about 105 cents over March futures which closed 3-1/2 cents lower at $4.42-3/4 a bushel.—Reuters
