NASHVILLE, TN (RFD NEWS) — Ethanol production moved higher again last week, giving corn demand another supportive signal during a volatile input and fuel market.
The U.S. Energy Information Administration (EIA) shows production reached a five-week high of 1.11 million barrels per day.
That equals 46.66 million gallons per day, or an annualized pace of 16.22 billion gallons. Using a rough 2.8 gallons of ethanol per bushel of corn, that pace implies about 5.79 billion bushels of annualized corn use.
Output was 7.2 percent above the same week last year and 9.7 percent above the five-year average. Ethanol stocks held near 24.9 million barrels, slightly below last year but above the five-year average.
Gasoline supplied rose slightly to 8.77 million barrels per day, while blender inputs climbed to 917,000 barrels per day.
Exports slipped 8 percent to 6.3 million gallons per day.
Farm-Level Takeaway: Strong ethanol production supports corn demand, but gasoline use, inventories, and export movement remain important watch points.
Tony St. James, RFD News Markets Specialist
Researchers say expanded E15 access may benefit corn producers but create challenges for soybean growers.
OOIDA’s Lewie Pugh discusses a new bipartisan surface transportation bill, industry efforts to address regulatory concerns, investments in truck parking and freight infrastructure, and the outlook for transportation policy.
Corn ethanol demand and stronger oilseed processing continue supporting domestic markets for crop producers.
Higher rail fuel surcharges could add cost pressure even as wheat production falls and grain movement remains active.
Fred Seamon with CME Group joins us to discuss the latest Ag Economy Barometer and the key economic pressures shaping producer sentiment in May.
Data centers will continue expanding, but local decisions will determine whether that growth protects agricultural water access or adds stress to already vulnerable production regions.
