November WASDE increases estimate for 2023-’24 corn use in ethanol
The USDA’s November report projects U.S. corn production at 15.1 billion bushels for 2024-25, down due to lower yields, with ethanol use unchanged at 5.45 billion bushels. Global adjustments include higher production in Uganda and Malawi but declines in Mexico. Reduced global ending stocks now stand at 304.1 million tons, mainly from China.
November 9, 2024
BY Erin Voegele
The USDA maintained its forecast for 2024-’25 corn use in ethanol production in its latest World Agricultural Supply and Demand Estimates report, released Nov. 8. The agency increased its estimate for 2023-’24 corn use in ethanol.
The current 2024-’25 U.S. corn outlook is for lower production and ending stocks. According to USDA, corn production is forecast at 15.1 million bushels, down 60 million from last month on a 0.7-bushel reduction in yield to 183.1 bushels per acre. Harvested area for grain is unchanged at 82.7 million acres.
The USDA currently predicts 5.45 billion bushels of corn will go to fuel ethanol production for 2024-’25, unchanged from last month. The agency, however, increased its estimate for 2023-’24 corn use in ethanol to 5.478 billion bushels, up from the October estimate of 5.471 billion bushels. Corn use for fuel ethanol production was at 5.176 billion bushels for 2022-’23.
Total corn use is unchanged at 15 million bushels. With supply falling and no change to use, corn ending stocks are down 1.9 billion bushels. The season-average corn price received by producers is unchanged at $4.10 per bushel.
Foreign corn production is forecast higher as increases for Uganda, Malawi, Belarus, Mozambique, Kenya, and Cameroon are partly offset by declines for Mexico, Turkey, and the EU. Mexico production is lowered reflecting lower winter corn area expectations.
Major global trade changes include lower corn exports for Brazil and South Africa with increases for Burma and Uganda. Corn imports are reduced for China and Malawi but raised for Mexico, Vietnam, Turkey, and Peru. Foreign corn ending stocks are down, mostly reflecting a decline for China that is partly offset by increases for Mexico, Uganda, and Canada. Global corn ending stocks, at 304.1 million tons, are down 2.4 million.
Source Link : https://ethanolproducer.com/articles/november-wasde-increases-estimate-for-2023-24-corn-use-in-ethanol
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