WASHINGTON – Higher carry-in stocks of feed grains are expected to boost supplies of feed grains despite a decline in estimated corn and sorghum yields, according to the US Department of Agriculture’s Economic Research Service (ERS).
The US 2012-13 feed grain supply is forecast at 321.4 million metric tons, up 2.7 million from August’s forecast and 37.0 million below last marketing year, ERS said. The agency said a decline in feed and residual use in 2011-12 is the primary factor contributing to the 4.1-million-ton increase in beginning stocks for August. Forecast feed grain production, at 284.5 million tons, is 1.3 million below the August and 39.0 million below 2011, according to ERS.
ERS projected an increase in feed grain use for 2012-13 at 0.6 million tons because larger forecast feed and residual use will offset a decline in exports. Total use is forecast at 25.5 million below 2011 levels at 300.1 million tons, compared to the 2011-12 estimate of 325.6 million tons.
Feed and residual disappearance is projected 1.9 million tons higher in September in part reflecting growth in expected September-December corn disappearance with an expected rise in early new-crop usage during the 2011-12 marketing year. ERS said exports were lowered 1.3 million tons from the August forecast to 34.6 million. Ending stocks are forecast at 21.3 million, which is 2.1 million tons higher than the August forecast.