Corn basis: The average of Central Illinois basis bids for the August net corn cost reconciliation period was around +63, compared to +105 on average in August 2021. Bids as of mid-August had retreated from the very high values seen in early July, but bids during the second half of the month strengthened again and were close to +70 by the end of the period.

Corn gluten meal and feed: Corn gluten feed pricing in August declined seasonally about 5 percent from the July period average but was up 37.5 percent year over year. Corn gluten meal pricing ticked higher month over month and was up 28 percent year over year. Meal pricing saw a 10 percent decline in pricing between March and June but has held steady since then.

Corn oil: After dropping sharply in July—average pricing for crude corn oil in the Midwest fell 20 percent from June’s likely season peak—average August corn oil pricing held the line near July’s level, down 4 percent year over year. Corn oil pricing reflects higher values across the edible oils complex. As reported by USDA, corn oil stocks remain high despite declining production, due in part to the collapse of traditional export volumes.

Net corn cost: For the month of August, net corn cost (Decatur basis) averaged near $3.71 per bushel, down 24 percent from the July average, due to the drop in corn price, and down almost 7 percent from a year ago. NCC at this level will be temporary, however, as the corn market returns to higher levels under the influence of speculation about the shrinking U.S. corn crop.

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