This morning, the World Agricultural Outlook Board (WAOB) released its monthly World Agricultural Supply and Demand Estimates (WASDE) report which contained the latest official government production estimates for the U.S. corn and soybean crops.
The report indicated that, “The forecast U.S. corn yield is reduced 22.6 bushels per acre to 123.4 bushels as extreme heat and dryness continued, and in many areas worsened, during July across the Plains and Corn Belt. As forecast, the 2012/13 corn yield would be the lowest since 1995/96.”
The WASDE update added that, “The first survey-based soybean yield forecast of 36.1 bushels per acre is 4.4 bushels below last month’s projection and 5.4 bushels below last year’s yield.”
Complete estimates for the entire U.S. corn and soybean balance sheet, including projected average farm price, can be viewed by clicking on the tables below, which were part of today’s WAOB report (corn table left, soybean table right).
The Financial Times is reporting today that, “Corn futures surged to a new record high after the US government said that the drought ravaging the US farmbelt had destroyed a sixth of the country’s corn crop in just one month…Wheat, corn and soyabean prices have already surged 25-50 per cent higher since June, with corn and soyabeans surpassing the highs of the 2007-08 food crisis to touch new records.
“The US is the world’s largest corn exporter and is a key supplier of other food commodities including soyabean and wheat. The USDA monthly estimates are among the most closely monitored barometers of food commodities markets.”