Corn and Beef Reports Predict Corn Back to Pre-Drought Levels26 August 2013
US – Commodity estimates suggest most states will return back to pre-2012 levels but beef production will decline.
Overall, the US average yield is expected to be up 7.2 bushels than 2011 and 3.52 bushels above the ‘olympic average’ from 2005 to 2011. This is the figure with the highest and lowest values removed.
The national corn yield is forecast to be 154.4 bushels per acre with production predicted at 13.763 bushels, according to the USDA National Agricultural Statistics Service Crop Production report.
This represents the most conservative estimate.
John Michael Riley an agricultural economist from Mississippi State University said that the World Agricultural Supply and Demand Estimates (WASDE) report saw corn yields of 156.5 and Bloomberg figures even higher at 158.
Iowa, Washington and Wisconsin are the only states expected to have lower corn yields than 2011.
Mr Riley said that WASDE beef estimates first quarter estimates for 2014 have been lifted while second quarter estimates have lowered.
“The 2014 first quarter estimate was revised up by 80 million pounds compared to last month's estimates. Second quarter 2014 estimates were lowered by 55 million pounds.
“Beef production in quarters one through four of 2013 and quarters one and two for 2014 are, respectively: 6.172, 6.517, 6.600, 6.255 and 5.875, 6.180 billion pounds. The second, third and fourth quarter estimates of 2013 were revised higher by 27, 120, and 60 million pounds.”
He added that these estimates were due to greater feedlot placements than had been predicted until now.
Collectively, this results in the annual beef production estimates for 2013 and 2014 to currently be projected at 25.544 and 24.130 billion pounds, respectively (up 207 and 25 million pounds), he added.
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