Feed Grain Production Prospects Up In 2010/11

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U.S. feed grain production for 2010/11 is projected at 354 million metric tons, up from 349 million in 2009/10. This year-to-year increase steams from larger projected planted and harvested area for corn, but lower planted and harvest area for sorghum and barley. Oats production is expected to decrease from 2009, with trend yields lower than last year’s record level.

For the four feed grains combined, planted and harvested area is up in 2010/11, but yield is projected lower. Planted area is based on producer intentions reported in the March 31 Prospective Plantings. Harvested area and yield are projected for corn, sorghum, barley, and oats (for more complete descriptions, see the following sections for each commodity). Beginning feed grain stocks are projected at 49 million tons in 2010/11, up from 47 million tons in 2009/10. Total 2010/11 feed grain supply is projected at 405 million tons, up from 398 million in 2009/10.

Feed grain use is expected to increase 2 percent in 2010/11, with higher projected ethanol production. Feed and residual use is expected to decline 1.1 million tons in 2010/11 to 142 million. Plentiful supplies of distillers’ grains are expected to encourage more feeders to reduce feed grain use. Exports are expected to increase from 54 million tons in 2009/10 to 55 million in 2010/11, as the global economy continues to recover. Food, seed, and industrial (FSI) use is projected at 158 million tons in 2010/11, up from 153 million in 2009/10, nearly all on increased corn use for ethanol. Ending feed grain stocks are projected to increase 1.6 million tons from the 49 million projected in 2009/10. Prices are expected to remain strong but down from 2009/10 and their record highs.




Source: USDA/ERS – Feed Outlook



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