Export premiums for corn shipped from the US Gulf Coast were mostly steady to weak on Thursday as increased farmer selling this week boosted supplies available to exporters and weighed down CIF barge basis values, traders said. Demand for corn was moderate, with major importer Japan in the market for April, traders said. South Korean feedmakers were also in need of late April and May cargoes, they said.
The US Department of Agriculture on Thursday confirmed private sales of 110,000 tonnes of old-crop US corn to Japan and 140,000 tonnes to unknown destinations. Soyabean export premiums were mostly steady in muted trading on Thursday as traders anticipated an uptick in demand with China's return to the market on Friday following the week-long Lunar New Year holiday.
Wheat export premiums were unchanged, with spot values at a premium to deferred offers, with tight loading capacity at ports underpinning prices, traders said. US wheat is competitively priced on the world market on a FOB basis, but high shipping costs to key markets in the Middle East and North Africa have limited purchases, traders said.
Algeria bought 585,000 tonnes of wheat via a tender. The purchase is expected to include US hard red winter wheat, traders said. Corn shipments from the Gulf in late February were offered around 69 cents a bushel over Chicago Board of Trade March futures.
FOB basis offers for February shipments of soyabeans were 45 cents a bushel above CBOT March futures. Offers for February SRW wheat shipments were unchanged at 85 cents over March futures while HRW shipments were steady at 140 cents over March futures.
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