Export premiums for soyabeans at the US Gulf Coast held steady on Friday amid quiet demand from top importer China due to weak nearby crush margins, traders said. Traders monitoring dry weather in South American soyabean areas said reduced production could underpin demand for US soyabeans. Reduced soyabean seedings this year in South America as farmers opting to plant corn instead.
US soyabean acreage may also decline next season. Analytical firm Informa Economics pegged 2012 soyabean area at 74.608 million acres, down from a prior forecast for 76.1 million due to more cotton seeding. Soyabean FOB basis offers for first half January shipments from the Gulf at about 74 cents a bushel over CBOT January futures, steady with Thursday and down 2 to 3 cents from a week ago, traders said.
Corn export premiums were flat on Friday as high prices and stiff competition from other suppliers and from lower cost feed wheat restricted demand, traders said. Spot corn FOB basis offers at the Gulf at about 54 cents a bushel over CBOT March futures, steady with Thursday and down about 4 cents from a week ago, traders said.
Routine buyers continue to book moderate amounts of US corn, but many are supplementing with cheaper Black Sea corn or Australian feed wheat. Private exporters sold 205,232 tonnes US corn to Japan for 2012/13 delivery, USDA said on Friday. US corn prices at least $15 per tonne above competing origins shipped to key Asian markets such as Japan and South Korea, traders said.
Informa Economics on Friday pegged US corn acreage in 2012 at 94.389 million, up from a prior outlook for 94.0 million and the most since 1944. Drought in southern Brazil impacting corn production prospects more than soyabeans, with some replanting damaged corn with soya.
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