The recent soybean meal rally has incentivized crushing. If margins continue as high as now around $1.60 a bushel, plants will run close to capacity. USDA is already projecting 2017/18 total crush at a record 1.950 billion bushels. There is a possibility USDA will increase that number, though it might be limited by physical capacity. Exports, on the other hand, have the potential of dropping further.

NOPA soybean crush by month

Source: NOPA
Posted by: Information Services
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