USDA
Increases Projections of Corn Used for Ethanol (12-10-04)
More than 12 percent
of this year’s record corn crop will be used for ethanol,
according to the U.S. Department of Agriculture’s (USDA) World
Agricultural Supply and Demand Estimates released today.
USDA estimated ethanol
usage at 1.43 billion bushels, up 4 percent from its November estimate
of 1.37 billion bushels.
“Considering the
USDA’s projections of a record 11.7 bushel crop, these estimates
even more clearly answer critics who earlier this year expressed
concerns the corn industry would not be able to meet demands,”
said NCGA Director of Economic and Livestock Analysis Max Starbuck.
“Corn growers are once again proving successful in increasing
domestic demand for their products.”
Corn exports, which are
expected to consume 17 percent of the corn crop, were estimated
at 2 billion bushels, down slightly from November estimates. USDA
said lower global corn imports, increased competition and the weaker-than-expected
pace of corn export sales led to the reduction in the export estimate.
Expected feed and residual
use remained at 6.08 billion bushels, or 52 percent of the crop.
The agency’s estimates
of an 11.74 billion bushel corn crop and 160.2-bushel-per-acre yields
are unchanged from November. U.S. ending stocks were raised by 25
million bushels to 1.843 billion bushels.