Total U.S. corn use for 2012/13 is projected up 9 percent from 2011/12 on higher feed and residual

disappearance, increased use for sweeteners and starch, and larger exports. Feed and residual use for

2012/13 is projected up 900 million bushels reflecting a sharp rebound in residual disappearance with the

record crop and an increase in feeding with lower corn prices and higher expected pork and poultry

production. Projected corn use for ethanol is unchanged on the year as weak gasoline consumption limits

domestic blending opportunities. Corn exports for 2012/13 are projected 200 million bushels higher than in

2011/12 on abundant domestic supplies, lower prices, and higher expected China demand. Record foreign

corn supplies, however, are expected to limit the increase in U.S. shipments. U.S. corn ending stocks for

2012/13 are projected at 1.9 billion bushels, up 1.0 billion bushels from the current year projection. The

season-average farm price is projected at $4.20 to $5.00 per bushel, down sharply from the 2011/12 record

projected at $5.95 to $6.25 per bushel.

Projected corn ending stocks for 2011/12 are raised 50 million bushels to 851 million with lower expected

June-August feed and residual disappearance. The large year-to-year increase in winter wheat production

and attractive prices for wheat relative to corn are expected to raise summer wheat feeding. Record mid-

April corn plantings and early May crop emergence boost prospects for early 2012-crop corn usage before

the September 1 beginning of the 2012/13 marketing year. As in recent years, this late-summer new-crop

usage is expected to displace old-crop usage and boost carryout.