Economist says corn is the highlight of USDA’s supply, demand estimate report
An ag economist says corn yield and production exceeded his expectations in the latest USDA supply and demand estimate report.
Ben Brown, an extension economist with the Food and Ag Policy Research Institute with the University of Missouri, says before the repot, he expected demand to be tight for corn but after Thursday’s report, that’s changed. “We’re at the point now where some of our corn demand will slow down,” he says. “I expect that to come out of export number as we look ahead and that kind of signals why I think exports not near as high – couple hundred million bushels less what we had this year for next year.”
He tells Brownfield Eastern Corn Belt production and yield is being overshadowed by losses in the Northern Plains. “We’ve had spring wheat numbers and production numbers coming in for awhile,” Brown says. “We knew that spring wheat production in the upper plains was continuing to struggle, continue to falter and we should expect corn and soybean production to hurt as well.”
Brown says there wasn’t a strong price reaction to Thursday’s report for corn.
Ben Brown, extension economist with the Food and Ag Policy Research Institute: