U.S. oilseed processors crushed 204.8 million bushels of soybeans in July, up six percent from last year, according to data from the USDA on Tuesday. 

Crush volumes held at a record in July as margins continued to incentivize processors to move bushels through facilities. Crush margins fell sharply over the past week, though, as soybean oil and meal futures weakened, while whole soybean prices remained elevated.

Year-to-date crushings for the 2024/25 season reached 2.246 billion bushels, up nearly six percent year-over-year. Domestic crush is on track to meet the USDA’s target of 2.43 billion bushels, with volumes at 92 percent of the forecast.

Soybean oil inventories at the end of July stood at 1.87 billion pounds, down 6.7 percent year-over-year. Inventories held at multi-year lows, despite record crush.

Lower export demand for U.S. soybeans has increased reliance on domestic crush. U.S. soybean crush is forecast to increase in the upcoming season and represent 58 percent of total demand. Exports are forecast to account for just 39 percent of demand. 

Strong crush volumes are expected to continue to meet soybean oil demand. Soybean oil used in renewable diesel production has been increasing this year since plummeting in January. 

Soybean meal exports have been operating at an elevated level, as U.S. supplies remained competitive in the global marketplace. 

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PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. FUTURES TRADING INVOLVES SUBSTANTIAL RISK AND IS NOT SUITABLE FOR ALL INVESTORS.