Higher Forecast Yields Boost Record Corn Crop
By USDA
The September survey-based forecast for the 2014/15 corn crop raises the U.S. corn yield 4.3 bushels per acre from last month to a record 171.7 bushels. Harvested area remains unchanged at 83.8 million acres. Excellent growing conditions in most areas are expected to help production reach 14,395 million bushels, 470 million higher than the previous record in 2013/14. Seventy-four percent of the crop was rated good to excellent in early September, up 18 percentage points from last year and the highest late-summer rating since 2004. Supplies are projected at a record 15,607 million bushels. This month’s 2014/15 total disappearance is projected up 170 million bushels, with increases in feed and residual use; corn food, seed, and industrial use, including ethanol; and exports. Ending stocks are expected to be 194 million bushels higher, and the price received by farmers is reduced by 40 cents at the mid-point of the projected range.
Sorghum production in 2014/15 is increased by less than 1 million bushels this month to 430 million due to a slight increase in yields driven by gains in Texas and despite a slight yield decline in Kansas. Strong trade activity and prospects support a 10-million-bushel boost to export projections in both 2013/14 and 2014/15.
Reduced foreign coarse grain production prospects offset much of the U.S. increase, leaving global production up modestly. Reduced foreign projected ending stocks offset much of the U.S. increase, leaving 2014/15 world coarse grain stocks projected up less than 1 percent this month.
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Source: USDA