U.S. soybean processing totaled 220.5 million bushels in November, down 6.7 percent from the previous month but up 5 percent from November 2024. Volumes were well above a Bloomberg survey of analyst estimates that predicted a crush of just 203.6 million bushels. Accumulated crushings for the marketing year that began on Sept. 1 reached 662.6 million bushels, sitting 8.1 percent above the same period last year.

US soy crush holds at record pace in November

Relatively low export demand has kept plenty of supplies moving through domestic crush facilities. Strong crush margins remain supportive, though larger product inventories could begin to weigh on margins.

Soybean oil inventories at the end of the month totaled 2.16 billion pounds, rising 34 percent above a year ago. Softening U.S. soybean oil demand internationally and domestically has led to recovering supplies. Stalled growth in soybean oil used in biomass-based diesel production has been a driving factor. But higher soybean oil prices also deterred demand from international buyers.

The lack of clear domestic biofuel policy could continue to keep biofuel producers cautious after kicking off the first quarter of this year. The proposed biofuel blending mandate in June heavily favored domestic feedstock consumption. However, it is likely the administration could delay implementing a reduction in tax credit allocations for foreign-based feedstocks. Still allowing a full credit for imported feedstocks will likely favor beef tallow use, which hit a record in October, according to the latest data from the Energy Information Administration.

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