Houston — US corn inspected for export in the week ended August 15 totaled 510,334 mt, down 53% from the year-ago week, US Department of Agriculture data showed Monday.

The total dropped 29% week on week in the most recent reporting period, according to the USDA's weekly Federal Grain Inspection Service report.

The largest share of US grain exports inspected last week was taken by soybeans at 52%. Corn was second at 23%, followed by wheat at 22%.

Since the 2018-19 marketing year began September 1, US corn inspected for export up to August 15 totaled 46.157 million mt, 16% below the same period in the previous marketing year and 86% of the USDA's projection of 53.343 million mt for the 2018-19 marketing year.

The USDA cut export projections from 55.883 million mt July 11, according to the USDA monthly World Agricultural Supply and Demand Estimates report. The department has cut export projections every month since April 9, when it projected 62.233 million mt, with the exception of its last report of August 12, when its export projection for the 2018-19 marketing year was unchanged.

US export shipments were below the average weekly pace needed to reach the USDA estimate for exports in the ongoing marketing year.

The top destinations were Mexico, with 158,757 mt of yellow corn and 17,058 mt of white corn; Japan, with 117,935 mt of yellow corn; and Guatemala, with 27,231 mt of yellow corn.US corn inspected for departure from the US Gulf Coast totaled 383,076 mt. Of that total, 366,018 was yellow corn, and 17,058 mt was white corn.

The amount of US corn inspected leaving the US Pacific Coast totaled just 146 mt of yellow corn. The only two destinations were South Korea with 122 mt and Taiwan with 24 mt.

Inspections of corn leaving the Interior region totaled 127,112 mt. Of the total, 120,626 mt was yellow corn, and 6,486 mt was white corn. The top destinations were Mexico with 111,396 mt of yellow corn and 6,486 mt of white corn, and Taiwan with 8,496 mt.

US corn inspected for exports is corn that has been sold and inspected during loading at export locations for shipment overseas.

Traders consider the pace needed to meet the USDA projection an indicator of demand.

The outright S&P Global Platts corn CIF New Orleans in barges price for front-month delivery dropped 59.50 cents to $3.9575/bu in the period from August 9 to August 15, while CBOT front-month corn futures fell 49.50 cents to $3.6075/bu.

Corn is the primary feedstock for ethanol production in the US and is the main competitor for dried distiller grains.

-- Sergio Alvarado, sergio.alvarado@spglobal.com

-- Edited by Zac Aiuppa, newsdesk@spglobal.com