(Posted Tue. Dec 10th, 2013)
Dec. 10: U.S. farmers remain on course to produce a record corn crop if forecasts hold, but increased demand will result in lower ending stocks than previously anticipated according to U.S. Department of Agriculture estimates released today. Harvest projections remained stable at 13.98 billion bushels as demand for corn for use in ethanol, food, seed and industrial use and for corn exports increased by a total of 150 million bushels. The crop would still solidly set a new production record and result in ending stocks of more than 1.7 billion bushels if projections hold.
“While the market responded to the abundance corn farmers grew in 2013, this abundance continues to create a difficult situation for many farmers as prices have continued to drop,” said National Corn Growers Association President Martin Barbre, a farmer from Carmi, Ill. “With many growers finding prices lower than their cost of production at this point, it is imperative that we work diligently to build and maintain markets for U.S. corn. I urge all farmers, allies and those who depend upon the economic activity agriculture generates to aid NCGA efforts to maintain markets by adding their voice to the growing outcry against the destructive lowering of ethanol volume obligations as outlined in the Renewable Fuel Standard proposed by the Environmental Protection Agency.”
For more information on this urgent issue and to take action, click here.
Food, seed and industrial use projections, ethanol use projections and projected exports were raised by 50 million bushels in each category. At the same time, projected corn imports into the United States were raised by five million bushels due to a strong Canadian corn harvest. Ending stocks fell by 95 million bushels. The season-average farm price was lowered to $4.40 per bushel, continuing a fall sharply from the record $6.70 to $7.10 the prior year.
For the full report, click here.