The U.S. Department of Agriculture (USDA) has released its new corn forecast report and predicts that this year’s corn harvest will reach 15.057 bushels. Although this is down around 36 million bushels from last month’s estimates, it is still predicted to be another record crop. The World Agriculture Supply and Demand Estimates Report also lowered corn supplies for 2016/2017 from the previous month with a new forecast of a record 16.845 billion bushels.
New National Corn Growers Association (NCGA) President Wesley Spurlock said another record crop puts a spotlight on the need to find markets for the continually growing corn crops. “We must pass the Trans-Pacific Partnership this year. The farm economy continues to struggle so anything we can do to encourage and grow exports is critical. That’s why NCGA continues to encourage our elected officials to build trade access starting with TPP.”
USDA reduced the average U.S. corn yield by 1 bushel per acre to 173.4. Should these estimates prove true, these figures would still represent record yield and production numbers. The average price was increased by 5 cents to $3.25 per bushel.
“Although the production report remained largely unchanged, the export numbers offer some good news in a growing season so far characterized by a large crop and corn prices below the cost of production,” continued Spurlock who has made trade a priority for his association presidency. “U.S. corn exports are doing well, largely due to South American weather problems that are hurting crops in Brazil and Argentina. Asian countries like Japan and Korea are shifting to the U.S. to meet their needs so that’s good news for the nation’s family corn farmers.”
Feed and residual usage, ethanol and other FSI, were unchanged. Carry-in was increased by 22 million bushels.