WASDE: Corn exports up, ending stocks lowered 24 million bushels

By Susanne Retka Schill | March 10, 2014

Projected U.S. feed grain ending stocks for 2013/14 are reduced with higher corn exports and lower oats imports. Corn exports are projected 25 million bushels higher to 1.625 billion bushels on stronger world imports and the rising pace of shipments in recent weeks. Continued strong export sales also support the higher figure. Projected corn ending stocks are lowered 25 million bushels to 1.456 billion bushels. The season-average farm price for corn is narrowed 5 cents on both ends of the projected range to $4.25 to $4.75 per bushel. Price ranges are similarly narrowed for sorghum.

Global coarse grain supplies for 2013/14 are projected 1.4 million tons higher with larger corn beginning stocks for Indonesia, higher corn production for China, and higher barley production for Australia. Partly offsetting is a reduction in expected sorghum output for Australia as a continuation of hot, dry conditions have sharply eroded prospects for this year’s sorghum crop.

Global coarse grain imports for 2013/14 are raised 1.3 million tons with higher corn imports for Indonesia and the European Union and higher barley imports for China. Higher expected corn and barley feeding in these countries drive the import increases. Barley feeding is also raised for Australia as drought reduces sorghum supplies and boosts demand for other feed grains. Sorghum exports are lowered for Australia. Sorghum imports are reduced for Mexico as strong demand from China has driven U.S. Gulf sorghum prices above those for corn in recent months, limiting import opportunities for sorghum feeders in Mexico.

European Union corn exports are lowered, but more than offset by this month’s increase for the United States. Global coarse grain ending stocks for 2013/14 are raised slightly with higher corn stocks in China and Indonesia more than offsetting lower barley stocks in the European Union and the reductions in corn and oats stocks in the United States.

Along with the WASDE report, the USDA released its World Agricultural Weather Highlights on March 10. Most of the reports summarized weather around the world and its impact on oilseeds, wheat and rice development. In South America, wet weather in Brazil is keeping immature corn and cotton abundantly watered, but hampering fieldwork. Argentina is also experiencing wet weather, improving prospects of later-planted summer crops, but causing localized flooding.