Global stocks: another record! [Corn and Soybean – n°12/2016]

The monthly report of December 2016 released by the United States Department of Agriculture (World Agricultural Supply and Demand Estimates Report – WASDE) shows the estimates of a slightly increasing global production for Corn (1039.73 Mio t, +0.9% from November outlook) and for Soybean (338 Mio t, +0.6%).

Corn production is projected higher in Brazil (+3.6%), on increases in both area and yield (if realized would be record-high), China (+1.6%), Russia, Canada and Indonesia. Soybean production is raised in India (+18%) and Canada on higher projected yields.

In 2017 it is expected that the U.S. will likely face strong competition from South America, that should influence Corn exports in the first half of the year and the Soybean exports in the second one.

U.S. Corn and Soybeans ending stocks are confirmed to a record high, respectively at 61.05 Mio t (27.5% of the world total) and 13.07 Mio t (15.8%). This affects the outlook for global ending stocks, which are projected at the highest levels for Corn (222.25 Mio t, +1.9% from last month outlook), with increases for China, Vietnam, Brazil and Russia, and for Soybean (82.85 Mio t, +1.6%), mainly on higher stocks for Argentina and India.

World – Corn Production, Utilization and Stocks, total and % on total

World – Soybean Production, Utilization and Stocks, total and % on total