05.17.2024
Uncertainty with 45z tax credit may affect Q1 2025 biofuel contracts
The expiring BTC provides a one dollar per gallon blenders credit up front with an additional 30 to 40 cents of credit to producers on the backend. Crimson...
Soybean Meal and Oil Values Race Higher
The estimated crush margin increased on a weekly basis in Central IL, reversing last week’s decline. The value received from oil and meal sales per bushel of soybeans crushed increased from $12.79 per bushel to $13.27 while soybean prices pushed 37 cents higher, closing at $10.96 per bushel. This allowed the margin to expand to $2.31 per bushel.
Soybean, soybean meal and soybean oil prices remain well supported relative to last year. Strong cash market gains and export demand have pushed soybean prices to levels not seen since 2016. Soybean prices are 18 percent over last year’s value, soybean oil is 15.5 percent stronger, and meal prices are up 26 percent relative to last year. The crush margin is 45 percent above where it stood on November 7, 2019.
The US Department of Agriculture’s (USDA) September crush data was in line with…