Basis bids for corn, soyabeans and wheat shipped by barge to the US Gulf Coast were steady to higher on Tuesday, lifted by firm freight rates and easing futures prices, traders said. Farmer sales of grain and soya to river elevators slowed as Chicago Board of Trade futures prices declined for a second straight session. Many Midwestern farmers are focusing on harvesting corn and soya amid several days of dry weather.
Spot barge freight rates held steady on the Illinois and Mississippi rivers but rose 75 percentage points of tariff on the Ohio River, supported by slow movement of vessels due to delays at lock 52, traders said. However, high water is restricting barge movement on northern sections of the Illinois River. A total of 55 barge tows were waiting to pass through lock 52 on the Ohio River as of Tuesday afternoon, according to Army Corps of Engineers data. Shippers said the queue would take about five days to clear.
Export premiums for corn, soya and wheat were mostly steady. The US Department of Agriculture on Tuesday confirmed 115,000 tonnes of US corn sales to Mexico and 146,000 tonnes to unknown destinations. South Korea's NOFI bought 69,000 tonnes of optional-origin corn via a tender. CIF soyabean barge bids for early October loadings were a penny higher at 26 cents over CBOT November futures. November barges traded at 34 and 35 cents over futures, traders said.
FOB basis offers for soyabeans shipped in early November were around 49 cents over futures. Bids for October corn barges were 5 cents higher at 27 cents above the CBOT December futures contract. FOB corn offers for early November loadings were about 50 cents over futures. October soft red winter wheat barges were bid 50 cents over CBOT December futures. Spot FOB Gulf offers were 85 cents over December futures. October CIF hard red winter wheat bids were 181 cents over the K.C. December contract for 12 percent protein grain. FOB offers for November vessels were 185 cents over futures.
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