Weekly soybean export sales for MY 2022-23 surge to higher-than-expected 1.003 million mt

US weekly soybeans net export sales for the 2022-23 marketing year (September-August) were at 1.003 million mt in the week ended Sept. 22, US Department of Agriculture data showed Sept. 29.

Market expectations for net export sales for MY 2022-23 were between 250,000 mt and 850,000 mt sales, sources said.

There were no export sales for the next marketing year, MY 2023-24. Tunisia, however, has canceled, or switched, the 30,000 mt that it previously sold.

So far in the 2022-23 marketing year, which began Sept. 1, total commitments—cumulative exports plus outstanding sales—have reached 26.730 million mt, up 10% on the year and 16% above the five-year average. Total commitments have already reached 47% of the USDA’s export estimate of 56.74 million mt.

Outstanding export sales of US soybeans—product sold, but not yet shipped—for the current marketing year totaled 25.516 million mt, 10% above the year-ago level, and 25% above the five-year average, the USDA said.

Weekly exports of US soybeans for the current marketing year totaled 269,208 mt, 49% below the previous week. Japan was the main destination with 85,800 mt; while 78,700 mt went to China, 61,100 mt to Mexico, 20,600 mt to Taiwan, and 7,900 mt to Costa Rica, the USDA said.

Top buyers
The top buyers in the current marketing year include China at 13.874 million mt; Mexico at 1.852 million mt; Egypt, at 652,000 mt; Japan at 645,968 mt; Taiwan at 419,456 mt; and Pakistan at 367,754 mt, USDA data showed.

The top soybean buyers in the most recent week for deliveries in 2022-23 include China, with 548,658 mt; Mexico, with 216,994 mt; Japan, with 81,567; Egypt, with 78,000 mt; and Tunisia, with 30,000 mt.

Since the start of the marketing year, 7.430 million mt of US soybeans have been committed for unknown destinations, including this week’s cancellation, or switch, of previous export sales of 23,700 mt, USDA data showed.
Prices

The outright price for Platts soybeans, SOYBEX, FOB New Orleans for November shipment rose $3.12 to $590.47/mt in the week ended Sept. 22, following an 8.5 cent week on week increase to $14.57/bu for Chicago Board of Trade November (X) soybeans futures, S&P Global Commodity Insights data showed.

The Platts soybeans FOB New Orleans premium for November shipment was 150 cents/bu, unchanged on the week, above the CBOT November (X) contract Sept. 22, S&P Global data showed.

The Platts soybeans CIF New Orleans basis for September shipment in barges slid 14 cents on the week at 180 cents/bu, above the CBOT November (X) contract Sept. 22, S&P Global data showed.

Platts is part of S&P Global.

Net sales, which reflect new sales, are considered a more appropriate indicator of the strength of the soybean market than physical exports.

Outstanding export sales and the pace of export shipments are considered indicators of the strength of the New Orleans CIF barge soybeans market.

Of the total estimated US soybeans production for MY 2022-23, 48% is projected to be exported, and the US exports are expected to account for 34% of total world exports.

Soybeans are used to produce soybean oil, which can be blended with fuels, or soybean meal, which is used as a source of protein in feed rations.
Source: Platts