Farm Bureau Economist Highlights WASDE Corn, Soybean Numbers
The latest World Agricultural Supply and Demand Estimates report shows no change in the projected corn and soybean yields. The 2013 corn yield is projected to be 156.5-bushels per acre. The soybean yield is forecast at 44.5-bushels per acre. American Farm Bureau Federation Economist Todd Davis notes corn production is down slightly from June though. Due to slightly lower harvested acreage expectations - the corn crop is now projected at 13.95-billion bushels - a slight decline from the 14-billion bushel projection in last month's report. Despite the decrease - Davis points out corn production is still on target for a record-setting year if realized. Davis says the soybean crop could be record-setting as well if the 3.42-billion bushel production forecast is obtained.
Corn and soybean acreage reflected the acreage survey released June 28th - which meant an increase of corn planted acres to 97.4-million and soybean planted acres to 77.7-million. A dip of 50-million bushels to 1.25-billion is expected for 2013-14 corn exports due to a later harvest and tight old crop corn stocks. That would be an increase of 550-million bushels from the 2012-13 marketing year. Davis says the estimate may be optimistic because of South American competition. Corn ending stocks are estimated to build significantly - from 729-million in 2012-13 to a projected 1.959-billion for 2013-14. Davis notes the projections are higher than the trade pre-report predictions of 1.88-billion. He says the elevated corn ending stocks predictions will reflect negatively on marketing-year prices - reducing the estimated 2013 farm price to $4.80 per bushel from $6.95 per bushel in 2012.
U.S. soybean ending stocks are expected to more than double from the 2012-13 marketing year - projected at 295-million bushels for 2013-14. That's an increase from 265-million bushels in June's WASDE report. The increase will lower the 2013-14 projected soybean price to $10.75 per bushel from $14.40 per bushel in the 2012-13 marketing year.
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