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More wheat going west this spring: USDA

According to a recent report from, changes in U.S. wheat export volume forecasts could be reflected in cargo flows this spring, with more going to western ports and less going to the Gulf. .. USDA (USDA).

USDA’s World Agricultural Supply and Demand Estimates (WASDE) is a monthly report that estimates the production, storage and export volumes of various agricultural products, and is the US soft white wheat export and hard red for the 2020-21 marketing year of wheat. Adjusted winter wheat export forecasts. , Starts from June 1st every year.

According to the adjustments announced in the WASDE report on Tuesday, US exports of soft white wheat are estimated to be 245 million bushels, compared to an estimated 225 million bushels in February. Meanwhile, US exports of hard red winter wheat will be around 350 million bushels instead of the estimated 370 million bushels in February. Bushel.

“Exports of white bread are increasing due to continued strong sales and shipments to China and South Korea.” According to USDA’s March WASDE report.. “On the contrary, exports in the bright red winter are declining as commitments to several markets in the Western Hemisphere are less than a year ago.”

What does this mean for freight transportation? According to the USDA’s Weekly Grain Transport Report (GTR), adjustments can affect wheat exports.

“If these adjusted sums are realized, we can gradually reduce the demand for rail and marine vessels in the Texas Gulf region while supporting the amount of rail and barges in the west.” GTR said on thursday..

From Minneapolis to Seattle is one lane where export grain is transported in international containers, otherwise it returns to an empty port. The amount of international container loaded in the lane from Minneapolis to Seattle is shown in blue, yellow and green in 2021, 2020 and 2019, respectively. (Chart: Freight Waves SONAR)

Meanwhile, WASDE’s estimates of US corn exports and US soybean and soybean derivative exports remain unchanged from February to March, while USDA’s World Agricultural Outlook Commission says Brazil’s corn and soybean exports are at record levels. It is estimated that it may reach. It was an export from Brazil, which put upward pressure on sea freight rates to transport bulk grain, “GTR said.

Because Brazil is in the Southern Hemisphere, the peak harvest season occurs in spring in the Northern Hemisphere, and the peak harvest season in the United States occurs in autumn.

US corn exports in the 2020-21 marketing year are estimated at 2.6 billion bushels, unchanged from February, but 46% higher than in the 2019-20 marketing year. According to the GTR, this increase is “mainly due to increased demand from Asia and other major importers,” in part due to the tightening of global supply.

US soybean exports are estimated at 2.25 billion bushels in 2020-21, which will be 34% higher than 2019-20 exports.

Corn and soybeans are sold from September 1st to August 31st.

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More wheat going west this spring: USDA

https://s29755.pcdn.co/news/more-wheat-to-go-west-this-spring-usda More wheat going west this spring: USDA

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