Ethanol production in the U.S. fell 5.1 percent last week to a record low of 784,000 barrels a day, U.S. Energy Information Administration data showed.
The drop was the largest since the Energy Department’s analytical arm began tracking weekly data in June 2010. Stockpiles in the period ended Jan. 11 jumped 2.6 percent to 20.4 million barrels, the highest level in four weeks.
Imports of the biofuel fell 48 percent to an average of 27,000 barrels a day, the EIA report showed. Ethanol-blended gasoline made up about 90 percent of the total U.S. gasoline pool, up from 85 percent in the week ended Jan. 4.
Denatured ethanol for February delivery declined 0.8 cent to $2.335 a gallon at 10:03 a.m. local time on the Chicago Board of Trade. Prices have gained 10 percent in the past year.
Corn is the primary feedstock for making the fuel in the U.S. An Agriculture Department report Jan. 11 showed stockpiles for the grain Dec. 1 were the lowest in nine years for that time of year after drought ravaged crops.
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