US soyabean export premiums at the Gulf Coast were steady to firm on Friday amid higher CIF basis values and reduced South American production, traders said. Nearby CIF soyabean basis bids climbed another 2 cents a bushel, adding to similar gains a day earlier, on tight supplies in the export pipeline and demand from at least one short-bought exporter. Farmer sales slowed this week as futures fell.
Chicago Board of Trade soya futures rallied, partly on new reports of disappointing yields in Brazil and Argentina. Recent private forecasts have pegged both crops below USDA's most recent estimates. Prices for spring and summer shipments of soyabeans from Brazil and Argentina remain at a discount to US prices, but tight capacity is seen diverting demand to US soya at times.
China bought a cargo of US soyabeans late this week for April shipment from the Pacific Northwest, traders said. Talk of some Chinese demand for June-July cargoes from the US Gulf, but no sales could be confirmed, they said. South Korea seeking 50,000 tonnes non-genetically modified soyabeans for arrival from January through March 2013 via tenders closing on March 30.
Argentine grain truckers ended a four-day strike over hauling rates that had delayed deliveries to ports. There was no market impact as the main harvest was weeks away and exporters filled loading obligations with stocks in port. Corn export premiums at the US Gulf Coast were flat on routine demand from regular importers including Japan and Mexico, traders said.
Mexico booked 400,000 tonnes of South African corn in recent weeks at substantially below US and Argentine prices, according to trade sources. Wheat export premiums were mostly steady, underpinned by good demand prospects as several large importers were short-bought for nearby needs, traders said. Few tender wins for US wheat this week as cheaper supplies from South America captured sales to North Africa and Middle East. But traders noted US wheat was well positioned to trade in upcoming tenders. Egypt and Iraq may tender as soon as next week. Iran also seen still seeking supplies. Morocco launched a tender to buy 180,000 tonnes soft wheat closing on April 10. Traders said European wheat would likely be the front-runner for the business.