USDA January Oil Crops Outlook: Robust Use Reduces 2020/21 Soybean Stocks

The final USDA estimate of the 2020/21 U.S. soybean crop is 4.135 billion bushels, which is down 35 million from the previous forecast, according to the January Oil Crops Outlook.

The decline stems from a reduction for the U.S. average yield to 50.2 bushels per acre from the previous forecast of 50.7 bushels.

With record first-quarter demand, USDA edges up its forecast of the 2020/21 crush by 5 million bushels this month to an all-time high of 2.2 billion.

Based on this month’s crop and use changes, USDA forecasts a plunge in 2020/21 seasonending stocks from 525 million bushels in 2019/20 to a 7-year low of 140 million.

The 2020/21 U.S. average farm price for soybeans is seen climbing to $11.15 per bushel, its highest level since 2013/14.

Grainnet

Tags: USDA, soybean crop