Soybeans are once again headed toward the Chinese market after U.S. officials confirmed Dec. 19 the sale of 1.1 million metric tons of the product.
The Litchfield Independent Review reports this is the second sale since a trade truce began at the start of December, totaling about 2.5 million metric tons.
The U.S. Department of Agriculture has not confirmed a third sale, but Reuters reported that a third sale is likely.
For grain elevators, predicting an ever-changing basis can be difficult.
Brett Annexstad, grain merchandiser for United Farmers Cooperative in Winthrop, said the recent announcement of China’s soybean import started as good news.
“Everyone thought we’d have this massive run-up in soybean prices," he told the Independent Review. "We’ve seen a slight improvement but nothing yet. Everything that’s been agreed upon is not nearly the size we need.”
