February 28, 2005

 

 

2005/06 outlook for US corn supply, demand

 

The US Department of Agriculture released its first projections for US corn supply, demand and price for the 2005-06 marketing year Friday at its Annual Outlook Forum.

 

The following table outlines USDA's projections for corn supply, demand and price for 2005-06 as well as forecast for 2003/04 and 2004/05.

                                                 2003/04      2004/05      2005/06

                                                      1/             2/

Area planted (mil. acres)                78.6          80.9            82.0

Area harvested                             70.9          73.6             74.6

Yield (bu./acre)                            142.2         160.4          145.6

 

Production (mil. bushels)              10,089       11,807        10,860

 

Beginning Stocks                          1,087          958           2,010

Imports                                           14           15              15

Supply                                        11,190       12,780       12,885

 

Feed and Residual                         5,798        6,075         5,950

Ethanol Fuel                                  1,168       1,425          1,500

Food, Seed and Other Industrial      1,369       1,370         1,380

Total Food, Seed and Industrial       2,537       2,795         2,880

 

Total Domestic Use                        8,335       8,870         8,830

 

Exports                                         1,897       1,900        1,950

 

Total Use                                     10,232      10,770      10,780

Ending Stocks                                958         2,010         2,105

 

Stocks/Use                                   9.4%       18.7%       19.5%

 

Farm Price ($/Bushel)                    2.42         1.95          1.90

                                                     3/

 

1/ Forecast. 2/ Projected 3/Midpoint of forecast range.

Source: USDA