Platts sees corn use for ethanol production falling to 4.85B bushels

April 23, 2020 |

In Illinois, Platts expects corn use for ethanol production to fall to 4.85 billion bushels this year, below the USDA WASDE report’s estimate of 5.05 billion bushels. The estimated drop in use is as a result of ethanol plants closing up, buckling under the pressure of low oil prices and COVID-19 related fuel demand destruction. Its head of grain analytics estimates that 50% of ethanol plants are closed. The lack of DDGS production is squeezing the beef industry who is having to switch to feeding corn and for longer because further downstream major meat packers are also closing across the country.

Category: Fuels

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