Tuesday, July 31, 2018

Crop Progress: Are We Headed For Record Yields?

From AgWeb:
While USDA continues to show corn and soybean conditions are impeccable, some farmers say crop conditions reports don’t tell the full story.

According to Monday’s USDA Crop Progress Report, 72% of the nation’s corn crop is rated good to excellent. Last year only 61% of the crop was rated good to excellent this same week. Soybeans are doing well too, USDA says. This week’s report shows 70% of the soybean crop is rated good to excellent.

Still, it’s clear by looking at USDA data that there are some problem areas across farm country. Corn crops in Missouri, Kansas, North Carolina and Texas continue to struggle from drought and less than 10% of each state’s corn crop is rated excellent. For comparison, Wisconsin’s crop is rated 31% excellent. The situation is similar for soybeans. Soybean crops in Kansas, Michigan, Missouri, and North Carolina continue to struggle.

According to Chip Flory, Farm Journal economist and AgriTalk host, farmers at the Leading Edge conference hosted by Pro Farmer last week say their corn and soybean crops are either great or terrible. There aren’t many reporting average crops.

“When we did the early bird session, and everybody was talking about their crop conditions, there was a whole lot of ‘This is going to be an eight to a 10 crop on a one to 10 scale.’ There were the guys that said, ‘This is a three to five crop for us’ and there wasn't a whole lot in the ‘Well this looks like it's going to be an average crop right at five’ category,” Flory said on AgriTalk this week. “It seems like they've either got a good crop or they're really suffering this year.”...MORE
It does look like the markets are expecting a lot of corn, here's five years of prices: