US soyabean export premiums at the Gulf of Mexico on Thursday were firm for nearby shipping periods amid tight old-crop supplies and steady in deferred months, underpinned by solid demand, traders said. Persistent demand from top buyer China supportive, eye on new-crop purchases.
As of last week, China has bought 1.35 million tonnes new-crop soyabeans versus 110,000 tonnes at the same point last year, USDA data showed. USDA confirms new-crop soya sale to China totalling 120,000 tonnes. Earlier in the week, traders said China bought two cargoes for October-November from the Pacific Northwest.
Soya demand to buyers other than China also firm. Tighter global supply due to drought in South America boosting demand for US old-crop soya for July and beyond, traders said. Good demand despite US Gulf FOB prices about $5 a tonne higher than Brazil, $11 a tonne higher than Argentina, according to traders. Firming CIF soyabean barge values help lift Gulf premiums. May soya barges traded as high as 70 cents a bushel over CBOT July, up 4 cents from bids late Wednesday.