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Export premiums for corn shipped from the US Gulf Coast were steady to lower on Wednesday as CIF barge freight rates eased and demand remained light to moderate, traders said. FOB basis offers for soyabeans were steady to lower and wheat offers were flat on dull demand as rival suppliers offered shipments at lower prices.
Costs for loaded corn barges at the Gulf Coast fell on Wednesday on weakening freight rates and ample supplies near the port. The supplies are easily meeting the moderate level of demand from overseas buyers. Spot barge freight on the Mississippi River at the busy Port of St. Louis this week hovered at the lowest level in at least five years, according to industry data.
Chinese importers booked at least two cargoes of Brazilian soyabeans on Wednesday for near-term shipment and at least one from Argentina, traders said. US soyabean exports are seasonally slow. China's soyabean imports are expected to climb 6 percent in the year ended in September to a record 83 million tonnes, the director of COFCO Futures said. Corn imports are seen declining amid large domestic stocks.
Egypt's GASC bought 180,000 tonnes of Romanian and Ukrainian wheat via a tender on Wednesday. No US wheat was offered in the tender. The USDA is scheduled to release weekly US export sales data early on Thursday. Corn sales were seen at 700,000 to 1.1 million tonnes, soyabeans at 200,000 to 600,000 and wheat at 200,000 to 450,000. FOB Gulf soyabeans loaded in March were offered at around 46 cents a bushel over CBOT May futures, which closed 3-1/2 cents higher at $8.61-1/2 a bushel.
Corn offers for March shipment were about 50 cents over CBOT May futures, which ended 1/2 cent higher at $3.56-1/4 a bushel. March shipments of soft red winter wheat at the Gulf were offered at about 55 cents over CBOT May futures, which closed 4-1/4 cents higher at $4.50-1/4 a bushel. March hard red winter wheat offers were about 95 cents over May futures which closed 5-1/2 cents higher at $4.55 a bushel.

Copyright Reuters, 2016

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