AgriTalk After The Bell: Demand Growth Market

AgriTalk After The Bell Host Chip Flory brings in Sue Martin from Ag & Investment Services. Davis Michaelsen covers news.

In what has become a theme among guest analysts on AgriTalk After the Bell, Sue Martin, Ag & Investment Services, told host Chip Flory that global corn demand is making it possible to build an argument for a long-term, price-friendly outlook for corn prices.

“It’s been 6 years since the 2012 price peaks,” said Martin. “In the past, once we get 5 to 6 years beyond a long-term price high, we start to see demand build. That’s happening now with global corn demand expected to outstrip production by about 40 million metric tons.”

But, of course, with the calendar ready to flip to June, Martin warned than any production hiccup in the U.S. could make for a volatile summer market. She explained, “We’ve already had production problems in Argentina and we’re having another issue with the Brazilian corn crop. A problem in the U.S. will be eye-opening” for the corn market.

AgWeb-Logo crop
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