The record-setting U.S. soybean crop is even bigger than expected, up nearly 2 percent from USDA’s previous forecast to an estimated 4.269 billion bushels. With farm-gate prices at the second-lowest level in a decade, soybean exports will exceed 2 billion bushels for the first time, according to the monthly WASDE report.
Exports are forecast at 2.025 billion bushels, up 40 million bushels, or 2 percent, from the previous estimate. The increase in U.S. exports would displace an equivalent amount of Argentine soybeans from the world market, said USDA. Argentina is the No. 3 soybean producer in the world. Brazil, second to the United States in soy production, will harvest a record 102 million tonnes in 2016/17. World soybean production is forecast to be the largest ever, 333 million tonnes.
U.S. corn production also was forecast at record levels, 15.057 billion bushels, down marginally from USDA’s estimate in September. The corn and soybean stockpiles, when the 2017 crops are ready for harvest, would be the largest in 10 years. The season-average price for this year’s corn crop would be the lowest in a decade.