The United States Department of Agriculture (USDA) has maintained its forecast for soyabean oil use in biofuel production in its latest report, Biodiesel magazine wrote on 10 June.
In its latest World Agricultural Supply and Demand Estimates report, the USDA also maintained its expected price for soyabean oil in 2021/22.
The USDA’s June soyabean supply and use projections for 2021/22 included higher beginning and ending stocks, Biodiesel magazine wrote.
Higher beginning stocks reflected a lower crush forecast for 2020/21, the agency said, with soyabean crush for 2020/21 reduced by 15M bushels to 2.175bn bushels based on a lower forecast for domestic soyabean meal disappearance and higher soyabean meal imports.
Soyabean oil exports for 2020/21 had been reduced 181.4M kg (400M pounds) to 861M kg (1.9bn pounds) due to high US prices reducing competitiveness in the world market.
Meanwhile, the forecast for domestic soyabean oil use had been increased 102M kg (225M pounds), reflecting strong consumption to date, Biodiesel magazine reported.
With higher soyabean beginning stocks and no use changes for 2021/22, ending stocks were projected at 155M bushels, up 15M bushels from the previous month.
The USDA currently estimates 4.35bn kg (9.6bn) pounds of soyabean oil went to biofuel production in 2020/21, up from 3.92bn kg (8.658bn) pounds the previous year.
Soyabean oil use for biofuels was expected to reach 5.4bn kg (12bn pounds) in 2021/22, according to the report. Both figures were maintained from the World Agricultural Supply and Demand Estimates (WASDE) published by the World Agricultural Outlook Board (WAOB).
Globally, the USDA’s estimates for soyabean ending stocks for 2021/22 had increased by 1.5M tonnes to 92.6M tonnes, due to higher beginning stocks for the USA and Brazil.
Brazil’s 2020/21 soyabean production was raised 1M tonnes to 137M tonnes, mainly due to higher yields in Mato Grosso do Sul.