Weekly export sales of US corn hit a marketing-year low

Weekly export sales of US corn hit a marketing-year low as cheap feed wheat from around the world continued to hamper sales, traders said on Friday. "Corn exports are pretty grim and we think they are going to stay that way for some time," said Gavin Maguire, an analyst at EHedger, a Chicago brokerage.
Corn export sales were 269,900 tonnes, the lowest since September 1, according to US Agriculture Department data released on Friday for the week ended December 25. US corn currently costs about $180 per tonne free-on-board (FOB) Gulf, compared with feed wheat from the Black Sea at $120.
Total US corn export sales since September 1 are down 47 percent from last year at about 21 million tonnes. USDA had projected corn exports would fall 26 percent. Corn exports are expected to rebound in the coming months as feed wheat supplies dry up but before the new South American corn crop hits the market.
WHEAT ROBUST Wheat export sales were 418,200 tonnes, a five-week high, from small sales to several countries such as Iran, Egypt, South Korea and Israel. Several traders raised eyebrows at USDA reporting a fresh sale of US white wheat to Iran last week, with shipment that same week. However, USDA confirmed that was the information provided by the exporter.
Iran bought 1.6 million tonnes of US wheat in the marketing year that started June 1 - making it the fifth largest buyer of US wheat. Iran bought US wheat for the first time in 26 years this summer due to a drought that slashed domestic production. However, it has since purchased wheat from Australia, Kazakhstan, Russia, Canada and France, depending on which country had the best price. US wheat is currently the most expensive in the world.
SOYBEANS STRONG Soybean export sales were 510,600 tonnes, about the same as the prior week. China bought 356,500 tonnes, also about the same as the previous week. Chinese crushers have increased purchases of US soybeans, which have been cheaper than domestic supplies, even with shipping costs.
Chinese domestic soybean prices have risen following Beijing's decision to replenish state reserves at above-market prices to help support farmers. However, sales to China are expected to remain light in coming weeks due to plants usually shutting down for the Lunar New Year in late January.
BRAZIL MAIN COMMODITY EXPORTS FOR DECEMBER Brazil's trade surplus grew to $2.3 billion in December, up from $1.61 billion in November, government data showed on Friday. That was higher than the $1.72 billion median estimate of nine economists in a Reuters, survey. The estimates ranged from $1.3 billion to $2.4 billion.
Exports of iron ore, an important export commodity for Brazil, continued sharply down from a year ago as the world's largest iron ore miner, Vale, cut its output by about 10 percent in November and other smaller ore producers suspended production. Brazil's 2008 trade surplus slumped 38 percent from 2007 to $24.74 billion, falling for a second straight year after reaching a record $46.46 billion in 2006, the trade ministry said.
The strong Brazilian real through August, which stimulated imports and curbed exports, and the falling price of commodities, helped bring the surplus down. In the table below are the main commodity exports by quantity for Brazil for December, according to data released by the trade ministry's foreign commerce secretariat.