In this month's USDA supply and demand report, export projections were raised in wheat, corn, soybeans, and soybean meal along with soybean oil.
Corn export sales for the week ending April 3rd were 18.7 million bushels of old crop along with a mere 0.4 million new crop. Trade was anticipating exports in the 32 to 39 million-bushel range. This is the lowest weekly figure since last July. With the new USDA export projection raised another 50 million bushels to 2.5 billion bushels, export sales this week were just enough to stay on target. Shipments for the week totaled 49.4 million bushels, just over the amount needed to reach projections. This report should be viewed as neutral by the trade.
Soybean exports for the week totaled 21.5 million bushels of old crop and 2.2 million bushels of new crop. This was above what the trade was expecting. With USDA's added 50 million bushels to exports, they now project soybean exports to reach 1.075 billion bushels. To reach this new estimate we need sales of around 3 million bushels per week the remainder of the marketing year. This week's exports at 21.5 million bushels are 7 times more than needed per week. Soybean shipments for the week were 15.7 million bushels, above what is needed to reach USDA new projections. With 42% of the marketing year remaining, we have reached 79.1% of USDA's 1.075 billion bushel projection. Trade should view this week's exports sales report as bullish.
Export sales for wheat climbed back this week posting 16.7 million bushels of old crop wheat along with 11.4 million bushels of new crop, which is up 70% from last week. Like the other two grains, USDA raised wheat exports also by 50 million bushels, setting the new export goal at 1.225 billion bushels. Weekly sales were more than enough this week to reach USDA's new target on a weekly basis. There are only 7 weeks remaining in the 2007/08 marketing year and exports sales need to average 7 million per week. Shipments of wheat continue to be less than needed to reach USDA's goal. For the week 27.9 million bushels of wheat were shipped out of the country and we need to be around 33 million bushels to make the new projection. Overall, the export situation for wheat remains bullish.
USDA revised export projections for soybean meal upward 150 short tons to 8,850 short tons in the latest supply and demand report. With 48% of the marketing year remaining for bean meal, export sales have reached 63% of projections.
Soybean Oil was also increased by USDA and now rests at 2,700 million pounds. With 48% of its marketing year left, export sales are now 33% of projections. While not reaching USDA projections on a weekly basis, bean oil sales for this marketing year are running 136% above year ago levels.
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