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Latest Planting Estimates Show Impact of Demand, NCGA Says (3-8-07)

A variety of estimates from government and private researchers suggest the 2007 corn crop could be the largest ever. But producers need to use caution in their estimates, said the National Corn Growers Association (NCGA).

Current estimates for corn planting this spring range from 85.6 million to 90.76 million acres, approximately a 6 percent difference. The U.S. Department of Agriculture’s official projection of corn plantings will be released on March 30.

“Intentions are just that - intentions. There are so many variables that could happen in the spring that could alter how much corn is actually planted,” noted Bill Chase, chairman of the NCGA Production and Stewardship Action Team. “Weather, fertilizer or seed availability and other inputs can change at the last minute. Also, soybean prices have been strengthening lately, so they’re becoming more cost effective, and some producers may end up putting more of their acres back into soybeans.”

With projections changing almost daily, Chase advised corn growers to use risk management tools to lock in a guaranteed price for their crops this fall. Despite the variables, however, he is confident corn production will meet demand this year.

“Never underestimate the ability of the American farmer to produce,” Chase concluded.