Results Of USDA's Monthly WASDE Numbers

WHEAT:  U.S. wheat supplies for 2015/16 are projected up 6-percent from 2014/15 on higher beginning stocks and production.  All wheat production is projected at 2,087 million bushels, up 3 percent.  The all wheat yield is projected at 43.5 bushels per acre, down slightly from the previous year.  The survey-based forecast for 2015/16 all winter wheat production is up 7 percent with both higher yields and harvested area. Spring wheat production for 2015/16 is projected to decline 5 percent on an assumed return to trend yields from last year’s near-record level, more than offsetting a slight increase in harvested area.
Total U.S. wheat use for 2015/16 is projected up 4 percent from the previous year on higher exports, feed and residual use, and food use.  The 2015/16 exports are projected at 925 million bushels, up 65 million bushels from the previous year’s low level but  still below the 5 year-average.  Large supplies in several major competing countries will continue to limit U.S. exports.  Feed and residual use is projected up 20 million bushels on increased supplies.  U.S. ending stocks are projected to rise 84 million bushels to 793 million, the highest since the 2010/11 crop year.  The all wheat season-average farm price is projected at $4.50 to $5.50 per bushel.
Global wheat supplies are projected to rise fractionally from 2014/15 as increased beginning stocks more than offset a slight decline in production from the previous year’s record.  Total wheat production is projected at 718.9 million tons, the second highest total on record.  Global wheat consumption for 2015/16 is projected slightly higher than in 2014/15 with higher food use more than offsetting a reduction in world wheat feeding.  Global ending stocks for 2014/15 are projected at 203.3 million tons, up 2.4 million from 2014/15.
COARSE GRAINS:  U.S. feed grain supplies for 2015/16 are projected to slightly exceed the record level of 2014/15 as larger beginning stocks more than offset lower expected production.  Corn production is projected at 13.6 billion bushels, down 586 million from the record 2014/15 crop with a lower forecast area and yield.  The U.S. corn yield is projected at 166.8 bushels per acre, down 4.2 bushels from the 2014/15 record based on a weather adjusted yield trend that assumes normal summer weather.  The 2015 yield outlook is not raised, despite the rapid pace of late-April and early-May planting, as more than 90 percent of the variability in the corn yield is determined by July precipitation and temperatures in the Midwest, which are unknowable at this time.  Corn supplies for 2015/16 are projected at a record 15.5 billion bushels, up just slightly from 2014/15.
U.S. corn use for 2015/16 is projected at a record 13.8 billion bushels, 1 percent higher than this month’s revised projection for 2014/15.  Feed and residual use for 2015/16 is projected 50 million bushels higher with animal numbers up from 2014/15.  Corn used to produce ethanol in 2015/16 is expected to be unchanged as projected gasoline consumption during the 2015/16 marketing year is nearly identical to 2014/15.  Corn use in other food, seed, and industrial categories in 2015/16 is projected slightly higher than this month’s lower forecast for 2014/15.  Exports for 2015/16 are projected 75 million bushels higher on the year with the 2014/15 projection raised 25 million bushels this month.  More competitive prices and growth in world demand support gains in U.S. exports for 2015/16, but large foreign supplies limit growth in the U.S. share of global trade.
Corn ending stocks for 2015/16 are projected at 1.7 billion bushels, down 105 million from the 2014/15 projection.  The season-average 2015/16 farm price is projected at $3.20 to $3.80 per bushel, down 15 cents at the midpoint from this month’s lowered outlook for 2014/15.  Forward pricing the 2015 crop have been at substantially lower levels than similar bids offered for the 2014 crop.
Global coarse grain supplies for 2015/16 are projected at a record 1,505.1 million tons, up 9.6 million tons from 2014/15 with the increase mainly reflecting larger corn beginning stocks and production for China.  Global corn production for 2015/16 is projected at 989.8 million tons, down from the 2014/15 record, largely reflecting the smaller projected U.S. crop.
Global corn consumption for 2015/16 is projected at a record 990.4 million tons, 13.0 million tons higher than in 2014/15, with notable increases for China, Brazil, Saudi Arabia, Argentina, Egypt, Canada, India, Indonesia, Iran, and Mexico.  Global corn ending stocks for 2015/16 are projected at 191.9 million tons, down 0.6 million from 2014/15
OILSEEDS:  U.S. oilseed production for 2015/16 is projected at 114.1 million tons, down 2.6 percent from 2014/15 mainly on lower soybean production. Soybean production is projected at 3,850 million bushels, down 119 million from the 2014 crop with record harvested area more than offset by lower yields.  Harvested area is projected at 83.7 million acres based on a 5-year average harvested-to-planted ratio and planted area of 84.6 million acres.  The soybean yield is projected at a trend level of 46.0 bushels per acre, down 1.8 bushels from last year’s record.  Supplies are projected at 4,230 million bushels, up 3.4 percent from 2014/15 with increased beginning stocks more than offsetting lower production.
The U.S. soybean crush for 2015/16 is projected at 1,825 billion bushels, up 20 million from 2014/15. U.S. soybean meal use is projected to increase 3.2 percent in line with expected gains in U.S. meat production.  Soybean exports are projected at 1,775 million bushels, down 25 million from 2014/15 despite record supplies.  Competition from record supplies in South America is expected to limit U.S. exports during the first half of the 2015/16 marketing year.  With larger supplies and lower use, U.S. ending stocks for 2015/16 are projected at 500 million bushels, up 150 million from 2014/15.
The U.S. season-average soybean price for 2015/16 will decline to $8.25 to $9.75 per bushel compared with $10.05 in 2014/15.  Soybean meal prices are forecast at $305 to $345 per short ton compared with $365 in 2014/15.  Soybean oil prices are forecast at 29.5 to 32.5 cents per pound compared with 32.0 cents in 2014/15.
Global oilseed production for 2015/16 is projected at 531.2 million tons, slightly below 2014/15.  Global soybean production is projected at 317.3 million tons, almost unchanged from 2014/15 with gains for Brazil, India, Paraguay, and Ukraine offset by reductions for the United States, Argentina, and China. Total oilseed supplies are up 2.8 percent from 2014/15.  With crush projected to increase 2.3 percent, global oilseed ending stocks are projected at 107.4 million tons, up 8.3 million from the revised 2014/15 stock estimate.
Global protein meal consumption is projected to increase 3.4 percent in 2015/16.  Protein meal consumption is projected to increase 3.0 percent in China, accounting for 24 percent of global protein consumption gains.  Global soybean exports are projected at 122 million tons, up 3.8 percent from 2014/15.  Global vegetable oil consumption is projected to increase 3.6 percent in 2015/16 led by increases for China, India, and Indonesia.