Ethanol production, supply above a week ago
U.S. ethanol production and stocks both moved higher over the past week.
The U.S. Energy Information Administration says production was a more than 27-week high at 1.052 million barrels a day, an increase of 34,000 on the week, but a decrease of 3,000 on the year.
That jump came before this week’s Environmental Protection Agency announcement of cut in ethanol blending requirements under the Renewable Fuel Standard.
Iowa State University’s Center for Agricultural and Rural Development says margins for the average Iowa plant fell below the cost of production, indicating losses for some operations.
The Renewable Fuels Association says net inputs by refiners and blenders were down from the previous week, while the volume of gasoline supplied to the market was up.
Ethanol stocks were reported at 22.804 million barrels, 578,000 above a week ago, but 672,000 below a year ago.
Ethanol exports averaged 87,000 barrels a day, 11,000 higher than last week.
The USDA’s next corn for ethanol use projection is out July 12th.