Damaged European Wheat Crop Raises Expected U.S. Wheat Exports For 2014/15

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 |  Includes: CORN, SOYB, WEAT, WEET
by: T. Marc Schober

Summary

Wheat exports were increased by 25 million bushels for 2014/2015 in Tuesday’s World Agricultural Supply and Demand Estimates released by the USDA.

A reduction in weekly corn sales was reported for the first time since the 2012/2013 Marketing year.

Exports for soybeans and wheat both increased, while corn exports declined.

Wheat exports were increased by 25 million bushels for 2014/2015 in Tuesday's World Agricultural Supply and Demand Estimates released by the USDA. The increase in exports was spurred by recent rains in the European grain belt that is expected to greatly damage their production this year. Continued fighting in the Ukraine has also led to speculations of a lower than expected amount of wheat in the global market this coming year.

A reduction in weekly corn sales was reported for the first time since the 2012/2013 Marketing year. Soybean sales declined moderately, and wheat sales fell below the ten-week average for the first time this marketing year. Exports for soybeans and wheat both increased, while corn exports declined.

Weekly U.S. net corn sales for the week ending August 7th in the 2013/2014 marketing year were a reduction of 117,900 metrics tons (MT), the first sales reduction in corn for the marketing year. Increases were reported from South Korea, Venezuela, Mexico, Taiwan, Canada, and the Netherlands. Decreases were reported from unknown destinations, Colombia, Morocco, the Dominican Republic, and Japan. Exports were 721,800 MT, a 33% decrease from the prior week and a 31% decrease from the prior 10-week average. The primary destinations were Mexico, South Korea, Japan, Venezuela, the Netherlands, Guatemala, and Taiwan.

Weekly net soybean sales in the 2013/2014 marketing year were 61,400 MT, a 35% decrease from the previous week and a 48% decrease from the 10-week average. Increases were reported from Indonesia, China, Taiwan, and Mexico. Decreases were not reported. Exports were 146,900 MT, a 173% increase from the prior week's marketing year low and a 14% increase from the prior 10-week average. Primary destinations were China, Mexico, Japan, and Venezuela.

Weekly net wheat sales for the week ending August 7th in the 2014/2015 marketing year were 338,700 MT, a 42% decrease from the previous week and a 22% decrease from the prior 10-week average. Increases were reported from Nigeria, Taiwan, Mexico, Chile, Jamaica, and South Korea. Decreases were reported from Brazil. Exports were 501,300 MT, a 21% increase from the prior week and a 12% increase from the prior 10-week average. Primary destinations were Mexico, the Philippines, Taiwan, Nigeria, Guatemala, and Peru.

Source: USDA Foreign Agricultural Service

Source: USDA Foreign Agricultural Service

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