OB Gulf corn, soyabean export premiums steady

26 Feb, 2009

US corn and soyabean export premiums at the Gulf of Mexico held mostly steady on Tuesday, while wheat supplies for nearby shipment remained tight, traders said. Talk that China was back in the market for soyabeans but buying mainly cargoes from Brazil for April and May shipment.
Export demand for US soyabeans expected to rebound only if farmer protests in Argentina hinder exports as they did in 2008. Argentine farmers end their strike but make little headway over agricultural policy with the government. Taiwan will tender on Thursday for 40,000 to 60,000 tonnes of US or South American soyabeans.
CORN & WHEAT US corn exports slowing but routine buyers continue to make purchases. Israeli consortium tenders to buy 32,000 tonnes of corn. US wheat exports stalled due to high prices and limited to mainly routine Asia business, such as South Korea buying 22,000 tonnes overnight. Russian wheat dominating export market with prices at $172 to $173 per tonne FOB versus US wheat at $195.
Russia believed to have sold 200,000 tonnes of wheat to Syria overnight and sold 240,000 tonnes to Egypt this weekend. Russia trying to break into Brazilian market and its efforts should be helped by the recent drop in its wheat prices, traders said. Russian wheat expected to be offered aggressively to Iraq in its tender that closes Sunday.
Iraq expected to remain a large wheat importer despite the country's agriculture minister pegging the 2009 wheat crop at 2 million tonnes, up from 1.6 million in 2008. USDA expected to estimate Iraq's wheat at 1.5 million tonnes.

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