US FOB Gulf soyabean basis offers fell only slightly as futures prices surged 5 percent on Friday on a bullish soya plantings number from the US Agriculture Department, traders said. Corn export premiums were steady to higher with strong export demand, but buyers were concerned about sharp increases in ocean freight rates.
There were ample supplies of corn either afloat or already at the Gulf and exporters were urging elevators to not ship more grain until the last half of July. Exporters were looking at large number of vessels arriving in August and September for loading but less demand for July, traders said.
South Korea bought 110,000 tonnes of US corn overnight for November and December delivery, on top of purchasing 385,000 tonnes of US corn earlier this week. Taiwan is expected to tender for corn next week. Soyabean export demand has been poor due to cheaper supplies in South America, but domestic demand is strong and helped support CIF barge basis value, which in turn kept export premiums fairly steady.
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