Wheat export premiums at the US Gulf Coast held steady on Friday amid optimism that some US wheat could trade in a tender issued by Egypt, traders said. Egypt's GASC said on Friday it was seeking offers for soft wheat for shipment March 21-31, hard wheat for April 1-10.
Letter of credit problems which disrupted some US wheat shipments to Egypt this week were unlikely to discourage exporters from offering in the tender, traders said. Egyptian banks set to reopen, and GASC a reputable buyer, they said. Top contenders for soft wheat business were Australian, Argentine and US white wheat. If Egypt chooses to buy hard wheat, US hard red winter should be the least expensive, traders said.
Wheat traders still awaiting results of a tender by Iraq for at least 100,000 tonnes wheat. Iraq bought US and Australian wheat in a prior tender last month and both origins seen competitive in the latest tender. US soybean export premiums at the Gulf were flat on Friday amid slow demand and steady to firm CIF values.
Soybean demand from China was quiet as markets there were closed for the Lunar New Year holiday. Most of China's recent US soy purchases have been for new-crop soybeans. Slowed grain barge movement on Midwest rivers, mainly the ice-covered Illinois River, supported spot CIF soybean basis as exporters scrambled to cover immediate needs. traders said.
US corn export premiums were flat on Friday amid moderate demand mostly from routine US corn customers, traders said. Private exporters sold 101,000 tonnes US corn to Japan, half for 2010/11 shipment and half for 2011/12, USDA said on Friday. China may import up to 9 million tonnes of corn this year, a US Grains Council source said this week. Imports from US currently not likely as prices $40 to $45 per tonne more expensive than domestic corn, traders said.
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