According to the United States Department of Agriculture (USDA) report released on Thursday, American exporters reported sales of 325,500 tons of corn from the 2023/24 harvest for the week ending April 4th, including cancellations. This volume represents the lowest recorded figure for the commercial year, marking a 66% decrease from the previous week and a 72% drop from the four-week average.
Primary Buyers: Major recipients of US corn include Japan (221.1 thousand tons), Mexico (191.4 thousand tons), South Korea (139.4 thousand tons), China (66.4 thousand tons), and Venezuela (25.4 thousand tons), compensating for cancellations from undisclosed destinations (261.7 thousand tons). Additionally, sales of 9.5 thousand tons to Nicaragua (6 thousand tons) and Honduras (3.5 thousand tons) were reported for the 2024/25 harvest.
Analyst Projections: The total sales volume of 335 thousand tons fell below analyst expectations, which ranged between 750 thousand tons to 1.3 million tons.
Shipment Activity: Shipments during this period amounted to around 1.557 million tons, reflecting a 5% decline from the previous week but a 10% increase from the four-week average. Leading destinations for the week included Mexico (672.5 thousand tons), Japan (398.6 thousand tons), South Korea (139.5 thousand tons), Taiwan (79.4 thousand tons), and China (66.5 thousand tons).
Analysis:
The latest USDA data underscores a notable downturn in US corn exports for the specified period, falling short of market expectations. Despite significant sales to key importers such as Japan and Mexico, cancellations from undisclosed destinations and lower-than-anticipated overall sales volumes have contributed to this shortfall. Analysts will closely monitor future export trends and shipment dynamics amidst evolving market conditions and trade dynamics.