USDA reduces United States’ corn and soybean production forecasts to five-year low

USA – The U.S. Department of Agriculture in a recent report placed the projected production of corn in the Unites States at 13.779 billion bushels, down by 19.816 million bushels from the September forecast.

In USDA’s October report, the average corn yield, based on conditions at the start of October, was forecast at 168.4 bushels per acre, up 0.2 bushels from September but down 8 bushels from 2018.

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Corn harvested area is forecast at 81,815,000 acres, down 202,000 acres from September but up slightly from 81,740,000 acres in 2018, a World Grain report reveals.

If realized, corn production would be the lowest since 13.602 billion bushels in 2015 but still would be the sixth highest ever. Record high production of 15.148 billion bushels was harvested in 2016.

At the same time, USDA forecast soybean production at 3.55 billion bushels, down 82.37 million bushels, or 2.3%, from September and down 877.869 million bushels, or 20%, from 2018, which was revised down to 4.428 billion bushels.

The average soybean yield was forecast at 46.9 bushels an acre, down 1 bushel from August and down 3.7 bushels from 50.6 bushels per acre last year, which was revised down from 51.6 bushels per acre previously.

Harvested area was forecast at 75.626 million acres, down 240,000 acres from September and down 11.968 million acres, or 14%, from 2018.

Soybean production would be the lowest since 3.357 billion bushels in 2013 with record high outturn of 4.428 billion bushels in 2018.

“Acreage updates were made in several states based on a thorough review of all available data,” the USDA said of the adjustments for both corn and soybeans.

The USDA corn production and yield forecasts were above the average of trade expectations, while the soybean production and yield forecasts were below the trade averages.

Despite the mostly minor changes from September to the USDA’s October corn and soybean production estimates, the trade remains concerned about potential crop losses to late maturing crops as wintry weather moves into the Upper Midwest.

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