USDA’s first assessment of 2012-13 domestic and global supply and demand prospects puts the 2012 corn crop at 14.79 billion bushels compared to 12.36 billion last year. USDA projects a 5.1 million acre increase in harvested area. Corn yield is projected at a record 166 bu./acre.
Total supplies are estimated at 15.66 billion bushels and stocks will reach 1.88 billion bushels. Ethanol demand for corn will remain at 5 billion bushels in 2012-13. Exports are estimated to increase to 1.9 billion bushels compared to 1.7 billion bushels this year.
Feed and residual use will increase by 900 million bushels to 5.45 billion bushels. Corn prices are estimated to drop from $5.95 to $6.25/bu. to $4.20 to $5.00/bu. Soybean production is estimated at 3.205 billion bushels on 73 million harvested acres. Soybean yields are estimated at 43.9 bu./acre, up 2.4 bushels from last year. Soybean supplies for 2012-13 are estimated at 3.43 billion bushels, an increase of 4% from 2011-12. Soybean prices are estimated at $12 to $14/bu., compared to $12.35/bu. in 2011-12. Wheat production is estimated at 2.245 billion bushels, up 12% from last year.