Soyabean export premiums at the US Gulf Coast were mixed on Monday, underpinned by tight nearby loading capacity but capped by seasonally slowing demand for US supplies, traders said. Talk that some Chinese importers were offering to resell seven or eight cargoes of US soyabeans could not be confirmed.
Traders said the soyabeans were slated for shipment this and next month so the offers to resell the cargoes would suggest that Chinese importers were more confident that early season port congestion in Brazil was less of a concern than it was last year. China was an active buyer of new-crop South American soyabeans late last week, including some that were initially sold as US soyabeans, traders said. Brazilian soyabeans were offered at a large discount to US soyabeans.
Traders expect additional soyabean sales cancellations at some point as more South American supplies flood the world market. The US Department of Agriculture on Monday raised its Brazilian soya production forecast by 1 million tonnes but cut its Argentine crop view by 500,000 tonnes. Corn export premiums at the Gulf were mostly steady to firm, supported by persistent strong demand.
USDA raised its 2013/14 US corn export forecast by 150 million bushels on Monday and cut ending stocks by that same amount. Japan is still in the market for corn shipped from March through June after making heavy springtime purchases in recent weeks, a trader said. Egypt and Mexico were also in the market for April through June. Wheat export premiums were about steady at the Gulf, underpinned by tight nearby supplies amid rail and river shipping woes.
