The drought-hit corn and soybean crops are smaller than expected, said the government on Monday, slicing 451 million bushels from its estimate of the corn harvest and 152 million bushels from its soybean forecast. The revisions reduced this year's crops to also-rans instead of contenders for the record books.
Market prices for U.S. corn, soy, wheat and cotton will retreat sharply in the 2023-24 marketing year with normal weather and yields around the world, FAPRI said in an update to its agricultural baseline. However, it expects record wheat and cotton prices in 2022-23.
Last spring, the Biden administration encouraged U.S. farmers to grow more wheat in response to Russia’s invasion of Ukraine and said it would make crop insurance more widely available for growers who wanted to team winter wheat with soybeans. Now there’s another inducement: Double-crop wheat and soybeans would be more profitable in 2023 than standalone corn or soybeans, say university economists.
A week before the 2020 presidential election, the EPA issued new instructions on the use of dicamba that it said would tame the notoriously volatile weedkiller. But complaints of damage to crops in nearby fields and to plants in parks, wildlife refuges, and residences continued to roll in, said the EPA on Thursday during a review of the herbicide.
Fifteen percent of the Midwest is affected by drought, twice as much of the region as a week ago, said the Drought Monitor on Thursday, as corn and soybean crops entered their reproductive stages. Illinois, Indiana, and Missouri had the largest increases, up 10 percentage points or more.
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.
American farmers say they will plant more soybeans — a record 91 million acres — and less corn and spring wheat despite tight global wheat supplies that have been compounded by the Russian invasion of Ukraine. Russia and Ukraine are two of the world’s largest wheat exporters, and Ukraine is a leading corn supplier.
The notoriously volatile weedkiller dicamba was blamed for 3,500 incidents of "off-target" damage this year, including to more than 1 million acres of soybeans, said the EPA on Tuesday. The regulator said it was reviewing whether dicamba "can be used in a manner that does not pose unreasonable risks" and said it would help states that wish to restrict use of the herbicide.
China is buying less U.S. crops and livestock than expected, particularly soybeans, and America's ag exports are feeling the pinch. Sales are forecast at a highest-ever $175.5 billion this fiscal year, said the USDA on Tuesday, but just like the record set last year, the crest was not as high as it looked in the summer.
Bakers are experiencing a "soybean oil supply crisis" of soaring prices and limited availability due in part to the land rush of investors into renewable diesel fuel, said an Ohio baking executive on Wednesday. Soy oil is a key ingredient in baked goods as well as the feedstock for making renewable diesel.
Thanks to a rush in investment, the renewable diesel industry is in a building boom in the United States and abroad "that is very comparable, I believe, to the ethanol boom of the mid-2000s," said economist Scott Irwin of the University of Illinois on Thursday.
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.
Projects in 23 states across the nation will receive a combined $26 million to install pumps, tanks, and other equipment for selling higher-blend biofuels, said the USDA on Thursday. The projects are expected to expand the availability of higher-blend fuels by 822 million gallons annually.
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.
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.
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 …