US corn export premiums at the Gulf of Mexico were firm on Monday due to a modest increase in demand after a recent drop in prices, traders said. US wheat export premiums were flat on Monday, despite talk that Iraq may have purchased some US wheat in its latest tender. Talk circulated among traders that Iraq may have purchase 150,000 tonnes of Canadian wheat, 100,000 tonnes Russian, and 50,000 tonnes US hard red winter wheat.
But no confirmation yet from Iraq's Grain Board. Demand for US corn from regular customers improved as US futures fell last week to the lowest level in six months. US corn prices for shipments to Asia competitive with South American prices amid favorable ocean freight rates from the US Gulf.
US Gulf prices competitive through at least May, and in some cases through July, a trader said. Good corn demand recently from importers in South Korea, the No 3 customer for US corn. MFG bought 220,000 tonnes US corn late last week; KOCOPIA bought 55,000 tonnes; KFA bought 47,000 tonnes.
USDA said corn export inspections in week ended April 1 totaled 39.3 million bushels, near the high end of the range of trade estimates but slightly behind the pace needed to reach USDA's latest US exports forecast. US soybean export premiums at the US Gulf eased on Monday due to dull demand and weaker CIF barge values, traders said. Demand for US soybeans seasonally slow as less expensive supplies available from South America.
CIF basis fell on slow demand from exporters and as more supplies became available as upper Mississippi River reopened, allowing river elevators in Iowa, Minnesota, northern Illinois to resume barge shipments to the Gulf. USDA pegged soybean export inspections last week at 16.2 million bushels, below the range of trade estimates but about twice the weekly pace needed to reach USDA's latest US exports forecast.