Ethanol Output Rises as Corn Demand Signals Strengthen

Corn demand received another boost last week as ethanol production climbed to a five-week high.

Farmland producing ethanol for the oil and gas industry. Railroad tankers cars lined up near a ethanol plant at sunset_Photo by photogrfx via AdobeStock_496174713.png

Photo by photogrfx via Adobe Stock

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
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Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

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