Electrified by Russia's invasion of Ukraine, commodity prices are sky high, with soybean futures topping $16.80 a bushel and the USDA forecasting the highest-ever farm-gate price for wheat. But high prices for corn, wheat and soybeans are far more likely to revert to their long-term averages than mark the dawn of a new era of permanently higher prices, said five university economists on Tuesday.
The United States will export a record $191 billion worth of agricultural products this fiscal year as the world scrambles to replace the corn, wheat, and vegetable oil it would normally get from Russia and Ukraine, said the Agriculture Department on Thursday. It would be the second year in a row of record-high farm exports.
U.S. food prices will soar by an average of 6.8 percent this year, the highest annual rate since President Reagan's first year in office — and that's assuming price increases slow in coming months, said a University of Missouri think tank on Monday. Sky-high commodity prices are a factor, "but higher labor and energy costs and a range of other factors are much of the story," said the Food and Agricultural Policy Research Institute.
The world should create a fund of up to $25 billion to help poor nations deal with the surge in food prices caused by Russia’s invasion of Ukraine, said the head of the UN Food and Agriculture Organization on Wednesday. The FAO estimates that an additional 13 million people will face hunger in the near term because of warfare in the Black Sea region, ordinarily a major source of wheat and corn on the world market.
Ukrainian farmers are woefully short of fuel ahead of the spring planting season and have lost around 10 percent of their land “to military effects,” such as bombing, said Dzoba Taras, the country’s deputy agriculture minister, during a webinar.
The Renewable Fuel Standard, which guarantees corn ethanol and other biofuels a share of the U.S. gasoline market, results in the release of at least as much carbon "and likely at least 24 percent higher" greenhouse gas emissions than the petroleum it displaced, say scientists who studied the program's first eight years.
Corn growers in 11 states can apply for crop insurance coverage this year for a practice that reduces nutrient runoff, said the Risk Management Agency on Wednesday. The policy will cover yield losses if bad weather prevents growers from making multiple applications of nitrogen fertilizer during key parts of the growing season.
Lured by two years of strong market prices, U.S. farmers will expand crop plantings significantly in 2022, with corn area rising by 3 percent despite sharply higher fertilizer costs, said economist Scott Irwin of the University of Illinois on Monday. This stands in contrast to many other early projections that say farmers will shy away from corn, the most widely grown crop in the country, in 2022 because of higher input costs and put more land into crops such as soybeans, wheat and cotton instead.
A favorable growing season and government policies that encourage crop rotations will result in a record corn crop in China, estimated the USDA. China is second to the United States as a corn producer and will be the world's largest corn importer for the second year in a row, according to the monthly World Agricultural Production report.
With exports in doubt because of hurricane damage to grain elevators near New Orleans, prices for corn, soybeans and wheat, the most widely planted U.S. crops, fell to their lowest levels in several weeks in futures trading on Tuesday. The fall harvest will begin soon and could glut the U.S. market if foreign sales are disrupted.
In a victory for environmental groups, a federal appeals court told the EPA to consider the effect of the ethanol mandate on endangered animals and plants. The ruling applied to the 2019 RFS but held implications for the agency's development of the RFS for future years.
With drought expanding in the Midwest, the corn and soybean crops are in notably worse condition than a week ago, said the USDA Crop Progress report on Monday. The portion of the corn crop rated as good or excellent tumbled by 14 percentage points in Iowa and good/excellent ratings for soybeans …
Drought in the northern Plains, increasingly important in corn and soybean production despite the region’s prominence as a wheat-growing region, may foil expectations of near-record U.S. corn and soybean harvests. North Dakota and South Dakota are parched as the planting season begins, …
Responding to strong exports and expectations of a U.S. economic recovery, farmers will plant 92 million acres of corn and 90 million acres of soybeans this spring, pointing to a record soybean crop and possibly the largest corn harvest ever, said the USDA on Thursday. Chief economist Seth Meyer also said farm exports would be a record $157 billion this year, including the largest-ever exports to China of $31.5 billion.
Private exporters reported the largest sale of U.S.-grown corn to Chinese buyers in nearly six months, with 1.36 million tonnes for delivery this marketing year, said the USDA on Tuesday. It was only the fifth time since 1994 that corn sales to China exceeded 1 million tonnes in a single day.
U.S. farmers, who harvested some of their largest corn and soybean crops ever last fall, will reap the highest season-average prices for the crops since the heady days of the commodity boom that ended in worldwide surpluses seven years ago, said the government on Tuesday. Commodity prices are on the rise due to tightening global supplies and large purchases by China, the first country to rebound economically from the pandemic.
China is buying huge amounts of U.S. corn as it rebuilds its hog herd and recovers from the pandemic but its appetite for imports could weaken by next fall, when U.S. farmers are expected to harvest their second-largest crop ever, said University of Illinois economists on Tuesday. Chinese imports of 13 million tonnes this year could taper to a still-large 10.5 million tonnes during the sales year that begins on Sept 1.
Although it is likely to fall short of its “phase one” target, China purchased a record $4.8 billion of U.S. food, agricultural and seafood products during October, contributing to the surge in grain and soybean prices, analysts said on Monday. “The big question right now for …
In the space of two months, the USDA has shaved more than half-a-billion bushels from its estimate of this year’s corn harvest and pared the soybean forecast by a similar 3.5 percent. The crop are still bin-busters but they are more manageable than initially expected and should fetch much …