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Page 14 March 23, 2017
2017 Logan County Farm Outlook Magazine
LINCOLN DAILY NEWS
The increase has occurred in spite of high yields.
With the abundance of crops, most expect that
prices will be lower; however, a growing demand
has contributed to a price increase. The demand
seems to be catching up to the supply due to
stronger global demand and use.
Sales are higher than last year at this time,
though crop yields overseas could affect sales
during the first quarter of this year.
This price increase has occurred even though the
corn harvest was large, with the United States
continuing to be the largest corn producer. The
USDA Economic Research Service says “Corn
accounts for more than 95 percent of total feed
grain production and use.”
Between the end of August and beginning of
September, the market for feed hit lows, but
increased use and demand for feed crops suggest
prices will continue to be higher.
Recent reports show unchanged amounts of corn
and soybeans being produced as prices increase,
so some are unsure what it means for the future.
On the international front, the USDA says
production has increased for both corn and
soybeans in Brazil, with record high yields.
The USDA’s World Agricultural Production
reports for March say Brazil corn production for
2016/17 is estimated at 91.5 million metric tons
(mmt), up 5.0 mmt from last month and up 24.5
mmt from last year. Stocks for soybeans are also
up from last month.
The same report shows 2016/2017 Brazilian
soybean production at a record 108.0 million
metric tons, up 4.0 mmt from last month and up
11.5 mmt from last year. Other major production
have been in India and Canada. Exports have
also increased.
Production of supplemental
feed grains like wheat also
saw increases around the
world. The WASDE reports
says, “Internationally, global
production increased 2.8
million tons to 751.1 million,
mainly due to larger crops
in Argentina and Australia
more than offsetting a slight
reduction in the European
PRICE INCREASE
for US feed forecast
By Angela Reiners
E
stimates for 2017 shows prices increasing for feed crops in the
U.S. due to an increase in global demand, with both domestic and
international use making a strong contribution to this increase.
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