March WASDE report released

USDA on Wednesday released the March World Agricultural Supply and Demand Estimates report.

The 2022/23 U.S. wheat supply and demand outlook is unchanged from last month. The projected season-average farm price remains $9.00 per bushel. The 2022/23 global outlook this month is for slightly smaller supplies, increased trade and consumption, and lower ending stocks. Supplies are lowered slightly as an increase in production nearly offsets a decrease in beginning stocks, which are lowered mostly on an increase for China 2020/21 feed and residual use.

This month’s 2022/23 U.S. corn outlook is for lower exports and larger ending stocks. Exports are reduced 75 million bushels reflecting the poor pace of sales and shipments to date despite relatively competitive U.S. prices. With no other use changes, ending stocks are up 75 million bushels from last month. The season-average corn price received by producers is lowered 10 cents to $6.60 per bushel based on reported prices to date. Global coarse grain production for 2022/23 is forecast 3.2 million tons lower to 1,439.6 million.

U.S. soybean supply and use changes for 2022/23 include higher exports, lower crush, and reduced ending stocks compared with last month’s report. Soybean exports are raised 25 million bushels to 2.02 billion based on higher-than-expected shipments through February. Soybean crush is reduced on a small reduction in domestic soybean meal disappearance combined with a higher extraction rate.

Wednesday’s report gave crop prices a bump higher as we now wait for those big end of month reports on planting intentions.