October 17, 2006

US feed grain production falls due to reduced areas
 

US feed grain production for 2006/07 was forecast at 289.9 million tonnes, down from a forecasted 295.6 million last month.

The drop was a result of fall in production of corn, sorghum, barley, and oats.

Planted area for the four grains in the US was reduced 1 million acres while the harvested area was down by 1.2 million acres this month. Production also fell as yield per harvested acre slipped to 3.58 tonnes per acre from 3.60 tonnes last month. Beginning stocks were lowered to 54.8 million tonnes.

Total feed grain supply in the US for 2006-07 stood at 347.1 million tonnes, down from 359.3 million in 2005/06 and the lowest since 2003/04.

Total feed grain utilisation for 2006-07 grain was projected at 318.0 million tonnes, down from 318.5 million last month and 304.5 million a year earlier. The month-to-month fall came from lower feed and residual use for corn and oats.

The year-to-year change in domestic feed grain use was due to a projected rise in food, seed, and industrial use and exports, which were projected at 95.8 million tonnes and 61.8 million tonnes, respectively.

On a September-August marketing year basis, feed and residual use for the four feed grains and feed wheat in 2006/07 totalled 166.4 million tonnes, up from 165.6 a year earlier.

Corn was estimated to account for 94 percent of feed and residual use in the current accounting year. The projected index of grain-consuming animal units (GCAU) in 2006/07 went up 1.9 million units to 93.8 million. Feed and residual per GCAU was estimated at 1.77 tonnes, down 2 percent from 2005/06, mainly because of the increase in GCAUs.