US net export sales of corn for the 2020-21 marketing year (September-August) totaled 115,888 mt in the week ended Feb. 25, down 74% from 453,281 mt in the previous week, according to Department of Agriculture data released March 4.
The net export sales for the 2020-21 marketing year were a marketing-year low and down 96% from the prior four-week average, the USDA said in its Exports Sales Highlights report.
Market expectations for net export sales were between 400,000 mt and 800,000 mt for the current marketing year, sources said.
So far in the 2020-21 marketing year that began Sept. 1, total commitments -- cumulative exports plus outstanding sales -- have reached 59.123 million mt, up 122% year on year and 66% above the five-year average.
Outstanding export sales of US corn -- product sold, but not yet shipped -- for the current marketing year totaled 32.954 million mt, 169% above the year-ago level and 107% above the five-year average, the USDA said.
The outright price for S&P Global Platts corn CIF New Orleans in barges, for current-month shipment, rose 3 cents week on week to $6.2675/bushel on Feb. 25, following CBOT March corn futures 12 cents higher week on week to $5.5475/bu.
The Platts corn CIF New Orleans basis in barges, for current-month shipment, was 9 cents lower week on week at 72 cents/bu above the CBOT March (H) contract.
The top buyers in the current marketing year include China at 18.730 million mt, Mexico at 12.035 million mt, Japan at 8.398 million mt, Colombia at 2.264 million mt, and South Korea at 1.633 million mt, the data showed.
The top corn buyers in the most recent week for deliveries in 2020-21 include China with 1.055 miliion mt, Mexico with 181,927 mt, Saudi Arabia with 129,252, Japan with 108,561 mt. and South Korea with 107,827 mt.
The 1.055 million mt listed as export sale for China were not fresh purchases but switched from previous "unknown destinations."
Since the start of the marketing year, 5.846 million mt of US corn has been committed for unknown destinations, including this week's export sales cancelations or switches for 1.765 mt, USDA data showed.
Net sales are considered a more appropriate indicator of the strength of the corn market than physical exports as they reflect new sales.
Outstanding export sales are considered an indicator of the strength of the New Orleans CIF barge corn market.
Of total estimated US corn production for 2020-21, 18% is projected to be exported, and US corn total exports are estimated to be 36% of the total corn exported in the world.
Corn is the primary feedstock for ethanol production in the US and the main competitor for dried distillers grains in feed rations.
