USDA has once again adjusted corn and soybean production downward. Corn production is now forecast at 12.4-billion bushels with yields expected to average 148.1-bushels per acre. On average yields of 41.5-bushels per acre - soybean production is projected to be 3.06-billion bushels. Growers are working to harvest the two crops now. And despite the challenges of the season - USDA Meteorologist Brad Rippey says corn maturity is ahead of the five-year average - as is corn harvest:
“Thirty-three percent complete, that’s ahead of the five year average of 32%, but behind last year’s rapid pace where we reached the half-way mark on October 9th, 2010.”
Rippey says big progress was made on the soybean harvest - which is ahead of the five-year average pace:
“Nationally, jumping from 19 to 51%, ending October 9th, so that means that almost one-third of the nation’s soybean fields were harvested just in that one-week span.”
Market Analyst Mike Stevens in Mandeville, Louisiana says the report for cotton was a bit of a surprise:
“Production in the US was raised 52 thousand bales, as increases in several states, especially Georgia, more than offset a decrease in the estimated production in Texas. And I think that most analyst had their eyes on Texas and were looking for the crop to be reduced 16 million or below, and USDA came in at 16.61. They’re still sticking to their guns and they say the domestic mill is unchanged and we will use 3.8 million bales, however the cut the exports by half a million bales to 11.5.”
Stevens says USDA raised U.S. ending stocks to 3.9-million bales from 3.4-million bales last month. They made several changes to world numbers as well:
“They raised world production 1.2 million bales, because they increased the crops in Australia, India, Brazil, Pakistan, and parts of Africa more than a little reduction in China. The world consumption was reduced nearly 850,000 bales.”
Stevens says the report was somewhat bearish with the bigger U.S. crop and lower export demand.
Read the full WASDE report here...