In the Dakotas and Minnesota, there’s been five new soy crush facilities that have come online or have been proposed since 2019. Renewable diesel is a big part of what’s generating the interest. CoBank Grain Economist Ken Zuckerberg says there’s close to six billion gallons of capacity that’s been announced in the last two years. It’s the soybean oil that’s in demand. “We’re getting close to the point where virtually every soybean grown in the United States would need to be crushed to satisfy all of the announced plant capacity, if they come to fruition.” Acres will likely shift to soybeans. “Going forward, our working assumption is demand for corn acres are likely to decline as electric vehicles become a greater component of new car sales. With all this demand for soybean oil, it’s possible for soybeans to take over corn acres.” Zuckerberg says it’s not clear how long the expansion phase will last.
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