USDA forecasts farmers will again plant a large number of corn acres in 2013. (Photo by Carrie Muehling/WJBC)
By Carrie Muehling
WASHINGTON, D.C. - USDA estimates more corn and fewer soybeans available compared to previous estimates in the monthly crop report and supply/demand numbers released Friday.
The expansion of ending stocks for corn comes in the wake of dismal export numbers.
Soybean numbers are just the opposite, with increased crush lowering ending stocks by 10 million bushels. Strong exports of soybean oil are also a factor as the season ending price estimates rose five cents on both sides of price range for soybeans.
USDA dropped forecasts for Argentina’s corn and soybean crops by a million tons each due to dry weather there, but the country’s corn crop is still on line to be 29 percent larger than last year. The Argentine soybean crop could be up 32 percent.
The agency adjusted the forecast for Brazil’s corn crop higher to 1.5 million tons, near last year’s record. If realized, Brazil will replace the U.S. as the top corn exporter in the world.
“The first time in our records, at least, that another country has been the top exporter in the world,” said Joe Glauber, chief economist for the U.S. Agriculture Department.
USDA believes farmers will plant more corn and soybeans in 2013 due to strong prices. Glauber questioned yield potential on those acres because drought continues to affect many areas across the country.
“A lot of crop that is historically produced is in areas that are affected by drought right now,” said Glauber. “A return to normal yield, we should see some large crops in the U.S.”
Carrie Muehling can be reached at email@example.com.