USDA predicts record corn crop, 1% growth in corn use for ethanol
Summary
The USDA has predicted that corn use for fuel ethanol production will increase by approximately 1 percent for 2023-’24, according to forecasts made in the agency’s latest World Agricultural Supply and Demand Estimates report, released May 12. The yield projection is 181.5 bushels per acre, which is based on a weather-adjusted trend assuming normal planting progress and summer growing season weather using the 1988-2022 time period. U.S. corn exports for 2023-‘24 are forecast to rise 325 million bushels to 2.1 billion, as lower prices support a sharp increase in global trade following the decline seen during 2022-‘23. With total U.S. corn supply rising more than use, 2023-‘24 ending stocks are up 805 million bushels from last year and if realized would be the highest in absolute terms since 2016-‘17. With lower prices, world corn imports are forecast to grow just over 5 percent, driven by increases for several countries, including China, Egypt, Vietnam, Algeria, Mexico, and Colombia.