U.S. corn supplies will be smaller than previously forecast due to rising demand from the ethanol and export sectors, the government said on Thursday. In its monthly World Agricultural Supply and Demand estimates, the U.S. Agriculture Department pegged that corn ending stocks in the 2020/21 marketing year that ends Aug. 31 will fall to 1.107 billion bushels, down from its May outlook for 1.257 billion bushels. For 2021/22, corn ending stocks were seen at 1.357 billion bushels compared to the May forecast for 1.507 billion bushels.
Cargill Inc said on Tuesday it will build a plant in Iowa to turn sugars from corn into replacements for chemicals that can be used to make spandex and biodegradable plastics, creating a new use for the crop. Cargill and HELM will ferment corn-based sugars to produce a 1,4-butanediol, or BDO, in the country's first commercial-scale, renewable facility for the product, according to a statement. It can replace chemicals made from fossil fuels like petroleum, reducing greenhouse gas emissions, Cargill said.
China's feed grain industry is unlikely to become self-sufficient despite the country's efforts to ramp up domestic production, David MacLennan, chief executive of Cargill Inc said on Friday. Tightening domestic supplies of feed grains and soaring demand from China's pork producers has triggered record feed grain import purchases this year. The surge in import demand has come despite directives by Beijing to boost domestic grain output and reformulate pig and poultry feed rations to reduce reliance on imported corn and soy.