Washington Report

USDA’s January 2024 World Agricultural Supply and Demand Estimates (WASDE) report indicated an expected increase in broiler exports in 2024. Recent trade data have shown a positive trend for the industry.

Below are key takeaways from the report for industry-relevant sectors:

Chicken:  The forecast for the poultry production and red meat sectors for 2023 is raised from last month due to higher beef, pork, and broiler production in the fourth quarter. Changes in the estimates of slaughter numbers and weights for December.  Broiler production is raised for the first half based on recent hatchery data. Once again, broiler exports in 2023 are raised on recent trade data, and 2024 exports are also raised slightly.

Corn: This month’s 2023/24 U.S. corn outlook is for greater production, larger food, seed, and industrial use (FSI), increased feed and residual use, and higher ending stock. Corn production is estimated at a record 15.3 billion bushels, up 108 million as an increase in yield to a record 177.3 bushels per acre is partly offset by a 0.6 million acre decline in the harvested area. Total corn use has risen by 75 million bushels to 14.6 billion. Corn used for ethanol has raised 50 million bushels to 5.4 billion. Feed and residual use is raised 25 million bushels to 5.7 billion. With supply rising more than use, 2023/24 corn stocks are up 31 million bushels. The season-average corn price producers receive is lowered by 5 cents to $4.80 per bushel.

Soybean:  Soybean production is estimated at 4.2 billion bushels, up 35 million, led by increases for Illinois, Missouri, and North Dakota. Harvested area is estimated at 822.4 million acres, down 0.4 million from the previous report. Yield is estimated at 50.6 bushels per acre, up 0.7 bushels. Soybean supplies are up 31 million bushels from last month. Expoert and crush forecasts are unchanged. Ending stocks are projected at 280 million bushels, up 35 million.

The full WASDE report can be found here.

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