USDA is projecting 2020 corn acreage at 94 million acres, an increase of five percent from last year. Soybean production is forecast to be 85 million acres, up 12 percent from one year ago. USDA Chief Economist Rob Johansson told Ag Outlook Forum attendees planting decisions will be impacted by trade expectations and rising input costs. “Current futures prices point to a large U.S. corn crop. The corn-to-soybean price ratio has dropped to four-year lows. In addition, we know local demand and transportation costs will drive regional plantings. For example, we see soybean and corn prices favor planting of more soybeans in the Upper Midwest compared to planting more corn in the Eastern Corn Belt.” Johansson also talked about the ag export outlook, which is expected to rise $4 billion in 2020.
Subscribe to RRFN
Get a weekly digest from RRFN to stay up-to-date on all the latest news in agriculture.