USDA updates ending stocks, price projections

Washington-The USDA’s Dec. 9 World Agricultural Supply and Demand Estimates (WASDE) report said U.S. wheat ending stocks for 2010/11 are projected 10 million bushels higher this month, reflecting lower domestic use. Total exports were unchanged, and the projected marketing-year average price received by producers was narrowed to $5.30-$5.70 per bushel. The report said U.S. feed grain supplies for 2010/11 were virtually unchanged. U.S. corn imports were raised 5 million bushels and U.S. corn ending stocks raised accordingly with record production reported for Canada. The projected marketing-year average price received by U.S. corn producers was unchanged this month at $4.80-$5.60 per bushel. The report said farm prices for barley and oats were both projected slightly lower based on prices received by producers to date. Total U.S. oilseed production for 2010/11 was projected at 101.7 million tons, down slightly, and soybean exports were increased 20 million bushels to 1.59 billion, reflecting record export commitments (shipments plus outstanding sales) through November. With projected crush unchanged, soybean ending stocks for 2010/11 were projected at 165 million bushels, down 20 million from last month. The U.S. season-average soybean price range for 2010/11 was projected at $10.70-$12.20 per bushel, unchanged from last month. The report’s U.S. 2010/11 cotton estimates included slightly lower production and higher domestic mill use, resulting in a decrease of 200,000 bales in ending stocks compared with last month. Production was reduced 150,000 bales, as lower production in Texas was partially offset by an increase in the Southeast. Ending stocks are now forecast at 1.9 million bales, or 10 percent of total use. The forecast average price received by cotton producers of 76-86 cents per pound was up 2 cents on the lower end of the range from last report. No changes were made to the U.S. 2010/11 all rice supply and use projections. The all rice season-average farm price was forecast at $12.00-$13.00 per cwt, down 10 cents on both ends of the range.