• The US corn outlook for 2020/21 is for record production and domestic use, increased exports and higher ending stocks," the department said.
  • Total US corn use in 2020/21 is expected to rise “on record domestic use and a rebound in exports," the USDA said.
  • Corn exports are expected to rise to 2.1 billion bushels, up from 1.725 billion, “reflecting expectations of global trade growth.

ARLINGTON: US corn stockpiles are projected to grow sharply by the end of the 2020/21 marketing year, while soybean stocks are expected to tighten, the US Department of Agriculture said on Friday.

The corn crop was forecast to rise by 12.9% to 15.460 billion bushels, based on an average yield of 178.5 bushels per acre, the USDA said.

“The US corn outlook for 2020/21 is for record production and domestic use, increased exports and higher ending stocks," the department said, also noting that total corn supplies are forecast to be record high.

The agency said the crop's rising size comes as more farmers are expected to plant more corn in comparison with 2019, when extreme weather and widespread flooding prevented farmers from planting millions of acres of farmland.

Total US corn use in 2020/21 is expected to rise “on record domestic use and a rebound in exports," the USDA said. Feed and residual use was projected at 5.8 billion bushels, up 275 million bushels from 2019/20.

The USDA forecast the amount of corn used for ethanol at 5.575 billion bushels, steady with 2018/19, “based on expectations of essentially flat motor gasoline consumption and a modest increase in exports," the agency said.

Ending corn stocks for the 2020/21 crop year were pegged at 2.637 billion bushels, up 39.4% over the previous marketing year.

Corn exports are expected to rise to 2.1 billion bushels, up from 1.725 billion, “reflecting expectations of global trade growth, but with continued competition from other exporters such as Argentina, Brazil and Ukraine."

For soybeans, the USDA said it is expecting the 2020/21 crop to be bigger, with higher exports, too. USDA forecast the soybean crop at 4.195 billion bushels, 17.9% higher than the previous marketing year, with plantings recovering from last year's weather-related drop.

Ending stocks were seen falling to 320 million bushels, down 105 million bushels from a year earlier.

“Increasing global import demand, particularly for China, and a recovery in US market share will support higher US soybean exports following a sharp decline over the past two years," the USDA said.