Rushville Republican

Agriculture

November 15, 2013

Corn crops expected to set record, but not as large as anticipated

WEST LAFAYETTE - The U.S. corn crop is projected to reach record production this year but won’t be quite as large as initially expected because heavy spring rain in parts of the country prevented some acres from being planted, according to the U.S. Department of Agriculture’s Friday (Nov. 8)crop production report.

Indiana’s corn crop also is expected to set a record.

The report gave farmers and commodities traders their first glimpse at U.S. crop production since September because the partial federal government shutdown canceled the October report.

The USDA’s National Agricultural Statistics Service is projecting that corn production will reach 14 billion bushels, up nearly 1 billion bushels from the record set in 2007.

While a record, Purdue Extension agricultural economist Chris Hurt said production won’t be as high as some expected, which is good news for farmers.

“There was a lot of fear coming into this report that the corn crop would be so large that prices would be extremely low,” he said. “But while yields were up substantially, prevented planting acres offset some of that.”

USDA Lowered harvested corn acres by nearly 1.9 million and soybean acres by about 700,000, primarily because of land that did not get planted due to excessive spring rains.

Another positive result for farmers is that USDA recognized the growing demand for the nation’s corn and soybean crops from both export buyers, such as China, and domestic buyers, such as livestock producers.

“A lot of people are breathing a sigh of relief that the crop is not larger and that there’s a growing demand base for the crops produced,” Hurt said. “This report might provide a bottom for prices.”

The USDA currently is estimating the national average farm-level corn price for the 2013 crop will be $4.50 per bushel, compared with $6.89 per bushel for the 2012 crop.

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