Soybean export premiums at the US Gulf Coast were higher on Tuesday on good demand from China and other importers and on tight nearby supplies in the river market, traders said.
Chinese importers bought at least one cargo of US soybeans for February shipment from the Gulf and two or three cargoes for March shipment from the US Pacific Northwest, traders said. China also bought about five Brazilian cargoes for March shipment, they said.
Tight supplies of loaded soybean barges in the river market propelled spot CIF basis values to the highest since July. Improved soybean export demand supported deferred old-crop CIF values.
US soybean prices competitive with new-crop Brazilian soybeans on the world market through March, traders said. Harvest delays in Brazil due to rains increasing backup in ports of grain vessels waiting to load. Vessel delays in Paranagua port up to three weeks, traders said. Delays supporting Brazilian soy prices for nearby shipments, they said.
US wheat export premiums at the Gulf Coast held mostly steady on Tuesday, despite sharply higher futures prices, as potential curbs to Russian exports were seen supporting US export prospects.
Russian government to determine on Thursday how much grain can be exported during this crop year before it considers imposing an export duty, Deputy Prime Minister Viktor Zubkov told Reuters. Frigid weather in Europe and the Black Sea region raising concerns about weather damage to the dormant winter crop in areas with little to no snow cover. Benchmark Chicago Board of Trade wheat futures rallied 3.3 percent on Tuesday in response.
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