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US soyabean export premiums at the Gulf of Mexico were steady on Thursday amid slow demand as more global buyers sought South American supplies, traders said. Gulf offers scarce for January and February due to lack of available loading capacity. Two US soyabean cargoes to China, the world's top importer, switched to South American origin and one cargo held at the border on quality concerns.
Traders do not anticipate origin switch on large number of US cargoes despite much lower prices for South American soyabeans. Many have ocean freight booked so costs to switch would be too high. Tightening credit in China raises fear of cancellation of US soya cargoes, especially those sold to smaller Chinese crushers, traders said. No cancellations confirmed yet.
Buenos Aires Grains Exchange projects Argentine soya crop at record 51 million tonnes. Record soya crop forecasts for Brazil appear justified, according to scouts surveying crops in top soya state Mato Grosso. US corn export premiums at the Gulf steady to weak amid slowing demand, partly due to increased competition from other origins such as Argentina, the world's No 2 exporter.
Lack of farmer selling keeps firm floor under CIF corn barge values, limiting downside for export premiums -traders. Improving outlook for Argentine corn crop amid good weather. Buenos Aires Grains Exchange Thursday raises forecast to 18.4 million tonnes from 18 million. Israeli private buyer purchased 27,000 tonnes Argentine corn, 8,000 tonnes soyameal. US wheat export premiums flat amid sluggish demand for soft red winter wheat, moderate demand for hard red winter. wheat, traders said.

Copyright Reuters, 2010

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