US FOB Gulf soyabean and corn export premiums were steady to lower on Thursday as export demand remains thin and barge freight weak, traders said. Hard and soft red winter wheat basis offers held steady but high prices was limiting export demand, especially with a new soft wheat crop two months from harvest.
Overnight South Korea passed on a tender to buy a small cargo of US wheat for May/June shipment due to high prices. Barge freight continues to drop, with smaller barge owners choosing to idle some vessels due to lack of demand. "The little guys are tieing equipment up by the bank," said a freight broker.
Corn export sales last week were strong at 1.2 million tonnes, but most of that grain will ship from the Pacific Northwest, traders said. Mexico bought 328,600 tonnes, followed by an unspecified destination and South Korea.
Most corn bought by Mexico is shipped in railcars, traders said. Elevators at the Gulf still have large amounts of capacity available for April loading, traders said. Soyabean export sales hit a marketing-year low of 270,400 tonnes last week.
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