Export premiums for corn and soyabeans shipped from the US Gulf Coast were steady to lower on Wednesday, weighed down by recent declines in the barge market ahead of the Midwestern harvest that could begin in the next few weeks, traders said. Cheaper costs for barges of the crops bound for the Gulf reduced prices for shippers loading larger, ocean-going vessels.
Shipping costs on Midwestern rivers have been little-changed in recent weeks, reflecting light demand for vessels before harvest gets underway. However, elevation capacity at Gulf export terminals was nearly sold out for harvest-time loadings in September and October, and buyers would likely have to pay higher premiums if they needed prompt shipments. A Taiwan buyer earlier rejected offers in a tender seeking 65,000 tonnes of corn shipped out of Brazil or the United States for shipment in November or December.
The US Department of Agriculture said exporters sold 187,000 tonnes of US soyabeans to China, 275,000 tonnes of US corn to Mexico and 138,000 tonnes of US hard red winter wheat to unknown destinations. Japan was expected to announce tender results on Thursday of a tender seeking US and Canadian wheat, in Japan's effective re-entry into the US white wheat market, following a trade halt early in August.
FOB basis offers for soyabeans loaded in late September were about 145 cents a bushel over CBOT November futures, which closed 7-3/4 cents lower at $9.43 a bushel. October corn shipments were offered at about 93 cents over CBOT December futures, which closed 2 cents lower at $3.15-1/2. September soft red winter wheat shipments were about 75 cents over CBOT September futures, which closed 2-1/4 cents lower at $3.61. September hard red winter wheat shipments were offered at about 125 cents over September futures, which closed 3-1/2 cents higher at $3.71-1/4.