(Posted Wed. Jun 12th, 2013)
Jun. 12: Despite weather-related planting delays this year, U.S. farmers are still on track to produce a record corn crop, according to U.S. Department of Agriculture estimates released today. While the report projects average yields will not break previous records at 156.5 bushels per acre, strong yields coupled with record plantings will help farmers produce a record total corn supply of 14.0 billion bushels, three billion bushels more than last year.
“While projections were lowered to reflect the anticipated impact planting delays will have upon our corn crop, the fact that U.S. farmers are anticipated to produce a record crop even facing such obstacles is a testament to the tenacity of farmers and innovation of agribusiness,” said National Corn Growers Association President Pam Johnson. “Farmers merge cutting-edge technology and ever-improving practices to create a dynamic industry capable of operating at a level unthinkable only a few decades prior. Now, we wait to see how the weather will unfold this summer while still remaining diligent in our work and striving to produce that abundance for a world with constantly increasing food, feed and fuel needs.”
Total production projections were lowered from last month by 135 million bushels to 14.0 billion bushels total. While planting delays impacted the overall projected production, achieving this number would mean an increase of more than three billion bushels over last year’s production, which suffered under extreme drought and heat that reduced yields to their lowest level since 1995. The projected yield was also lowered by 1.5 bushels per acre to 156.5 bushels per acre to reflect the impact of planting delays. Notably, if achieved, this would still be the third highest national average corn yield on record.
U.S. corn use projections were lowered by 70 million bushels from the previous month, with higher projected demand from feed and residual disappearance, ethanol, sweeteners and starch. Projections fell showing feed and residual use lower than in the previous month by 125 million bushels as the use of distillers’ grains is anticipated to grow. Projected corn use from the ethanol sector is raised by 50 million bushels from the previous month, thus 300 million bushels higher than the previous year. Export projections fell by 50 million bushels as overseas sales remain sluggish.
U.S. corn ending stocks are projected at 1.9 billion bushels, 2.5 times their 2012/13. The season-average farm price, now projected ten cents higher at each end to $4.40 to $5.20 per bushel, remains down sharply from the record $6.70 to $7.10 the prior year.
For the full report, click here.