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Published January 13, 2014, 10:16 AM

WASDE report projects higher corn use

U.S. wheat supplies for 2013 to ’14 are unchanged this month, but lower expected use raises projected ending stocks at 33 million bushels. Feed and residual use is down 60 million bushels, reflecting disappearance for June-November as indicated by the Dec. 1 stocks released in the grain stocks report. Feed and residual use is lowered for hard red winter, hard red spring and soft red winter wheat. Seed use is up 1 million bushels based on the winter wheat planted area reported Jan. 10 in the winter wheat seedings report.

By: U.S. Department of Agriculture,

Wheat

U.S. wheat supplies for 2013 to ’14 are unchanged this month, but lower expected use raises projected ending stocks at 33 million bushels. Feed and residual use is down 60 million bushels, reflecting disappearance for June-November as indicated by the Dec. 1 stocks released in the grain stocks report. Feed and residual use is lowered for hard red winter, hard red spring and soft red winter wheat. Seed use is up 1 million bushels based on the winter wheat planted area reported Jan. 10 in the winter wheat seedings report. Wheat exports are projected 25 million bushels higher, with an increase for hard red winter, on the strong pace of sales and shipments and lower expected competition from Argentina, particularly in Brazil’s milling wheat market. The 2013 to ’14 season-average farm price is projected 10 cents lower at the midpoint with the range narrowed to $6.60 to $7 per bushel.

Corn

Projected corn use for 2013 to ’14 is higher with feed and residual use projected up 100 million bushels based on September-November disappearance as indicated by the Dec. 1 stocks estimate. Corn used to produce ethanol is raised 50 million bushels, reflecting continued strong weekly ethanol production, a reduction in expected sorghum use for ethanol, and higher forecast 2014 gasoline consumption in the latest projections from the Energy Information Administration. A 50-million-bushel reduction in other food, seed and industrial use offsets the increase in use for ethanol. Corn ending stocks for 2013 to ’14 are projected 161 million bushels lower at 1.6 billion. The projected 2013 to ’14 season-average farm price for corn is unchanged at the midpoint with the range narrowed to $4.10 to $4.70 per bushel.

Soybeans

The 2013 to ’14 U.S. season-average farm price forecast for soybeans narrowed 25 cents on both ends of the range to $11.75 to $13.25 per bushel based on prices reported to date. The soybean oil price is forecast at 35.5 to 39.5 cents per pound, down 2.5 cents on both ends. The soybean meal price is projected at $415 to $455 per short ton, up $15 on both ends of the range.

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