Almost half of farmers have none of this year’s corn crop priced or sold according to a recent Farm Journal Pulse.
Even though some farmers are getting a jump-start on planting corn this year, few have priced or sold it. (See which states have planted corn this spring with AgWeb's Corn Planting Map
According to this week’s Farm Journal Pulse, a text message poll of farmers and ranchers, 45% of respondents have none of their 2012 corn production sold or priced, while another 30% have less than 25% priced.
More than 1,350 farmers replied to the question: How much of your 2012 corn production is sold or priced?
Here are the results:
Why Isn't the Corn Priced?
"Farmers are worried about the dryness throughout the Corn Belt and old-crop corn is strengthening."
Georgy says farmers know the U.S. has tight supplies in old-crop corn. "So, farmers are saying they aren’t going to make a mistake again by selling it early. Farmers are very bullish."
In a typical year, Allendale believes farmers on average would be 25% sold. So, the 45% who have none of their crop priced should be noted.
"Rather than surprising, that’s probably risky," Georgy says of those with none priced.
Rich Nelson, Allendale’s director of research, says most producers are optimistic right now, even amid the large acreage increase coming.
"We are coming off of two years of yield losses and are producers are still getting high prices for last year’s crop. They need to see the crop coming out of the ground and for prices to fall hard before they believe the bearish 2012 scenario."
Nelson encourages producers to price their corn crop as soon as possible, due to favorable weather forecasts. "We would easily recommend at least 40% sold by this point."
See the Results
See which parts of the country are most concerned with locking in their input costs with our interactive Farm Journal Pulse map.
Add Your Vote
You're invited to be part of the heartbeat of our new national producer panel that speaks up and speaks out. Participating is as easy as answering two quick poll questions per month via text message from your mobile phone.
By partnering with Commodity Update
, the leading provider of agricultural information to mobile phones, Farm Journal sends you the question via a text message on the first and third Wednesday of each month.