Corn basis is widening at ethanol plants as demand dries up. In the Northern Plains, basis widened by 5 to 10 cents in the last week. Bids range from 50 to 70 cents under the May futures contract, with ethanol plants only taking scheduled deliveries. However, recent sales are a bright spot for the corn markets. “On Wednesday, China bought more U.S. corn. Typically, they don’t really buy our corn. That was nice to see,” said Kristi Van Ahn, market analyst, Van Ahn and Company. “If this keeps up, this would be great for the Dakotas to help with basis, but we have a road ahead of us.”
Subscribe to RRFN
Get a weekly digest from RRFN to stay up-to-date on all the latest news in agriculture.