May 14, 2008

US feed grain output to drop on smaller crop plantings

The US feed grain production for 2008/09 is estimated to drop by 26 million tonnes from 351 million tonnes in 2007/08 to 325 million tonnes due to smaller estimated plantings of corn, sorghum and oats.

Barley production is expected to rise from that in 2007 on slight increase in planted and harvested acres.

For the four feed grains combined, the planted and harvested area is down in 2008/09.

Beginning US feed grain stocks are 38 million tonnes in 2008/09, up from 36 million in 2007/08.

Total 2008/09 feed grain supply is projected at 366 million tonnes, down from 390 million.

US feed grain use is expected to decline in 2008/09, despite higher ethanol production.

Feed and residual use is also expected to drop 21 million tonnes in 2008/09 to 143 million tonnes. Current high feed prices are expected to encourage more feeders to include DDGS in their feeding rations.

Exports are predicted to slip from 72 million tonnes in 2007/08 to 58 million tonnes in 2008/09.

Ending feed grain stocks are projected to decrease 15 million tonnes from the 38 million tonnes in 2007/08.