Jerry Gulke, president of the Gulke Group, dissects the information and news from today’s reports.
Half the battle is over in trying to balance the 2012 supply and demand levels in corn and soybeans. "We have locked in the supply side, says Jerry Gulke, president of the Gulke Group.
Today USDA released its October Crop Production and World Agricultural Supply and Demand Estimates and Crop Production reports.
Here are the highlights:
- Total production: 10.706 billion bu., compares to 12.358 billion bu. in 2011
- National average yield: 122 bu. per acre, down 0.8 bu. from the September Crop Production Report
- Total production: 2.86 billion bu., compares to 3.056 billion bu. in 2011
- National average yield: 37.8 bu. per acre, up a notable 2.5 bu. per acre from the September Crop Production Report
Gulke provides audio analysis of the reports:
Gullke says for corn, the crop wasn’t as big as we thought. In soybeans, yields we increased and a strong demand was waiting. "This shows the soybean market will stay stable."
For corn, this is the lowest average yield seen since 1995. Gulke says that this should raise some agronomic questions for farmers.
In his field, he saw yields vary from 80 to 180 bu. per acre. He says that yield variation can make net profit range by several $100s.
"I think what it tells me is that we need to do a lot better job on site-specific fertilizer. It wasn’t heat, but the lack of water that really hurt me. We were 1 to 2 inches away from this yield being 128 or 132.
See all of the data, coverage and analysis of today's World Agricultural Supply and Demand Estimates and Crop Production reports.