The Renewable Fuels Association called Tuesday’s World Agricultural Supply and Demand Estimates report a “non-event:, as far as the U.S. corn balance sheet is concerned. The only change was a slight decrease in the 2012/13 season-average price estimate, from $7.60/bu. to $7.40/bu. However, there were some important revisions on the global side. Global coarse grains production was increased 7.9 million metric tons, as China reported a 4 percent larger corn crop. Canadian corn output was also revised higher. The estimated size of Brazil’s corn crop was unchanged, while Argentina saw a slight decrease.
Total global grain supplies, coarse grains, wheat and rice, were raised slightly to 2705.6 million metric tons , the second-largest on record. RFA projected that just 2.92 percent of the world grain supply will be consumed for U.S. ethanol …the lowest rate in 5 years.
Source: NAFB News Service