# COVID-19 Weakens Ethanol Demand Leading to Reduction in Corn Usage Forecast - Purdue Agricultural Economics

> Purdue researchers estimate that COVID-19 and the oil price decline will sharply reduce corn use for ethanol and DDGS production. Lower gasoline demand from shelter-in-place orders and recession is expected to lift corn ending stocks for the 2019 crop year.

- Date: 2020-04-13 · published 2020-04-13T12:00:00.000Z
- Category: report · region US · magnitude medium
- Page: https://feedsoft.ai/events/53644-covid-19-weakens-ethanol-demand-leading-to-reduction-in-corn-usage-forecast
- Commodities: [DDGS](https://feedsoft.ai/c/DDGS.md), [Corn](https://feedsoft.ai/c/CORN.md), [Crude Oil (WTI)](https://feedsoft.ai/c/WTI.md)

## Why it matters

Lower ethanol-related corn demand points to larger corn stocks and downward pressure on corn prices, while reduced DDGS output tightens feed supply and supports substitute feed prices.

## Read by commodity

- WTI: bearish ▼
- CORN: bearish ▼
- DDGS: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| CORN | 2023-02-09 | [Declining Crop Prices, Rising Production and Exports Highlight U.S. Agricultural Projections to 2032 \| Economic Research Service](https://feedsoft.ai/events/13299-declining-crop-prices-rising-production-and-exports-highlight-u-s-agricultural.md) | -1.3% | -5.2% |
| CORN | 2018-01-01 | [Record Corn Yield Forecast Weakens Corn Prices](https://feedsoft.ai/events/67036-record-corn-yield-forecast-weakens-corn-prices.md) | +0.3% | +2.5% |
| CORN | 2018-08-01 | [Purdue Experts Analyze Agricultural Market in Light of Tariffs and Record Yields](https://feedsoft.ai/events/63419-purdue-experts-analyze-agricultural-market-in-light-of-tariffs-and-record-yields.md) | +7.9% | -4.6% |
| CORN | 2022-09-02 | [US 2023 agricultural exports forecast 1% under record 2022 - Fastmarkets](https://feedsoft.ai/events/39568-us-2023-agricultural-exports-forecast-1-under-record-2022-fastmarkets.md) | -0.6% | -1.6% |
| CORN | 2018-09-17 | [Record Corn Yield Forecast Weakens Corn Prices - farmdoc daily](https://feedsoft.ai/events/63055-record-corn-yield-forecast-weakens-corn-prices-farmdoc-daily.md) | +3.1% | +4.7% |
| WTI | 2025-06-10 | [Crude price fall to continue in 2025-26 as global production outpaces demand: US EIA](https://feedsoft.ai/events/24394-crude-price-fall-to-continue-in-2025-26-as-global-production-outpaces-demand-us.md) | +9.9% | +5.1% |
| WTI | 2022-04-13 | [Opec cuts 2022 supply and demand forecasts amid Ukraine conflict and high inflation \| The National](https://feedsoft.ai/events/42018-opec-cuts-2022-supply-and-demand-forecasts-amid-ukraine-conflict-and-high.md) | +2.1% | +5.0% |
| WTI | 2021-06-15 | [Growing global production limits crude oil price increases in the most recent forecast -
		U.S. Energy Information Administration (EIA)](https://feedsoft.ai/events/46496-growing-global-production-limits-crude-oil-price-increases-in-the-most-recent.md) | +3.8% | +6.1% |

## Sources

- ag.purdue.edu: https://ag.purdue.edu/commercialag/home/paer-article/covid-19-weakens-ethanol-demand-leading-to-reduction-in-corn-usage-forecast/

---
Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.