News

Ethanol production down, supplies rise

U.S. ethanol production declined last week, while stocks grew.

The U.S. Energy Information Administration says production averaged 1.047 million barrels a day, down 34,000 on the week for a new five week low, with some plants either reducing schedules or idling because of July 4th. Stocks climbed 165,000 barrels to 23.009 million, a new six week high, because of slower blending demand.

The industry continues to monitor margins, EPA policy towards small refinery waivers, and trade talks with China, which might have to import U.S. ethanol to meet biofuels targets.

The USDA expects more than 5 billion bushels of corn to be used for ethanol this marketing year.