News

Ethanol production declines as supply rises

U.S. ethanol production dropped to a multi-month low last week.

The U.S. Energy Information Administration says ethanol production averaged 1.021 million barrels per day, the lowest since late January, falling 42,000 from the previous week and 35,000 from a year ago.

Part of the decline can be tied to seasonal maintenance.

Ethanol stocks of 27.034 million barrels were up 422,000 on the week and 826,000 on the year.

Iowa State University’s Center for Agricultural and Rural Development says the estimated operating margins for the average Iowa plant tightened slightly from the prior week while remaining in positive territory.

The Renewable Fuels Association says net inputs of ethanol purchased by refiners and blenders and the volume of gasoline supplied to the market were below the week before.

Ethanol exports averaged 174,000 barrels per day, a week-to-week increase of 112,000 and 16,000 above last year.

The USDA expects 5.5 billion bushels of corn to be used for ethanol production this marketing year, with the next guess out Thursday, April 10^th at Noon Easter/11 Central.