U.S. ethanol stocks well below year ago levels
U.S. ethanol stocks are tighter than at any point since late 2016.
The U.S. Energy Information Administration says the supply dropped 1.047 million barrels last week to 19.393 million, which is 4.797 million under year ago levels.
That’s a consequence of some demand improvements, including export demand, and reduced production over the course of the last year because of the COVID-19 pandemic.
Production last week averaged 979,000 barrels a day, a jump of 27,000 barrels on the week and 362,000 on the year, but down 72,000 from this point in 2019.
The Renewable Fuels Association says inputs by blenders and refiners ticked fractionally higher from the previous week, while the volume of gasoline supplied to consumers was fractionally lower.
The USDA says ethanol prices in the Midwest last week were mostly higher.
The USDA expects 4.975 bushels of corn to be used for ethanol production this marketing year and 5.2 billion bushels to be used next marketing year.