US soybean oil stocks rise to highest level in 10 months

US soybean crushes in April likely reached 6.055 million short tons, or 201.8 million bushels, according to analysts polled by Reuters ahead of the US Department of Agriculture’s monthly report due on Monday.

Analysts also estimated that soybean oil stockpiles rose to their highest level in 10 months.

If the average of nine analysts’ estimates is correct, soybean crushes would be down 2.3% from the 206.6 million bushels crushed in March, but up 13.7% from the 177.6 million bushels crushed in April 2024.

However, average daily crushing volumes are estimated to have risen to 6.727 million bushels per day in April, up from a six-month low of 6.663 million bushels per day in March.

US soybean crushing capacity has increased in recent years as crushers have built new plants and expanded existing ones amid a surge in demand for vegetable oil to make biofuels.

Analysts note that US crushing volumes reached record levels last fall and winter, but the pace of crushing has slowed this spring as crushing margins have tightened and some crushers have shut down their facilities for seasonal maintenance.

Estimates for April crushing volumes range from 201.0 million to 202.9 million bushels, with a median of 202.0 million bushels.

The USDA is scheduled to release its monthly fats and oils report at 2 p.m. CDT (1900 GMT) on Monday.

US soybean oil stockpiles as of April 30 were estimated at 2.101 billion pounds, based on the median of five analyst estimates.

The crude oil stockpile estimate represents a 1.1% increase from the 2.079 billion pounds total supply at the end of March, but a 9.1% decrease from the 2.311 billion pounds total stockpiled at the end of April 2024.

Estimates ranged from 2.050 billion to 2.150 billion pounds, with the median being 2.100 billion pounds.

The National Oilseed Crusher Association reported that its members, which account for at least 95 percent of U.S. soybean crush, crushed 190.226 million bushels in April, and NOPA members’ oilseed inventories rose to 1.527 billion pounds at the end of the month.

Tags: USA, stocks