Ethanol production up, margins stay strong
Strong margins continue to be a driving force behind U.S. ethanol production.
The U.S. Energy Information Administration says production averaged 1.009 million barrels a day, up 29,000 from the previous week’s unexpected drop and 154,000 above a year ago.
Iowa State University’s Center for Agricultural and Rural Development says operating margins for the average Iowa plant held near the 2023 highs thanks to lower than a year ago prices for corn and solid ethanol demand.
The Renewable Fuels Association says stocks were 367,000 barrels higher at 22.048 million, but that’s 643,000 lower than last year.
Net inputs by refiners and blenders and the volume of gasoline supplied to consumers were both up on the week.
Ethanol exports averaged 77,000 barrels a day, a decline of 32,000 from the prior week.
The USDA’s next corn for ethanol use estimate is out October 12th.