(IARN) — Meteorologists are predicting another wet spring. How does the Department of Agriculture see that impacting spring plantings?
U.S. Department of Agriculture officials expect planting decisions to be affected by a number of factors: Expectations about trade and tariffs, prices compared with rising input costs, and current futures prices. Despite many factors still influencing planting decisions, USDA officials released their estimates for planted acreage.
Rob Johannson, U.S. Department of Agriculture Chief Economist at the recent 96th annual Ag Outlook Forum said that last year’s planting difficulties resulted in 13 million fewer acres of soybeans, which is equivalent to roughly a 600 million bushel carryout. That reduction supported an increase to soybean acreage to roughly 85 million acres, up 12-percent. Corn area is expected to rise 4.3 million acres to 94 million acres following last year’s prevent plant, supported by new crop prices that are relatively favorable, according to Johannson.
Matt Bennett, of Ag Market says, “There is still a lot up in the air.” He offers his professional opinion to producers, who may not have their planting decisions set in stone.
He says that he thinks as we get through, you have to look at the ratio from beans to corn. Looking at the Outlook Forum numbers, “maybe producers would be a little more excited about a potential bean rally. But at this stage of the game, I think 94 million, 85 million are probably in the ballpark of what we might be seeing for acreage.”
Story courtesy of the Iowa Agribusiness Radio Network.