USDA Projects Record Corn Crop

USDA released its monthly Crop Production and Supply and Demand reports this morning for both the 2012 and 2013 corn, wheat and soybean crops.  The numbers were higher than anticipated but not outside of the range of expectations.  USDA projects that the U.S. will produce both a record corn and soybean crop, with total corn production pegged at 14.1 bbu, breaking the previous record of 13.1 bbu set in 2009.  Soybean production was estimated at 3.39 billion bushels.  As a result of the increase in production both commodities are also looking at more than doubling this year’s carryout.  Carryout for the 2013/2014 corn crop is estimated at 2.004 billion bushels, up from the 759 mbu projected for 2012 crop.  Soybean carryout for 2013 is projected at 269 mbu, up 140 mbu from the 125 mbu projected for the 2012 marketing year.

Aside from the Supply and Demand Estimates, USDA also released its first look at the 2013 U.S. Winter Wheat Crop. USDA projects a nine percent reduction in total wheat production, due entirely to the poor condition of hard red winter wheat and it’s current weather struggles.  However, usage is also projected to decrease due to lower export and feed demand leaving a projected carryout for the 2013 wheat crop of 670 million bushels.

On a state by state basis, the ND winter wheat crop is forecasted at 17.7 million bushels, down 56% from last year.  Yield is also projected 3 bushels lower at 52 bushels per acre.  The South Dakota winter wheat crop production estimate is not posted as of this writing but is reporting a winter wheat condition rating of 62% poor to very poor compared to 6% good to excellent.