Market analysts are expecting the USDA to forecast up to 96 million acres of corn and up to 86 million acres of soybeans to be planted in the U.S. this year. According to Todd Hubbs, an agricultural economist at the University of Illinois, there could be fewer corn acres given current market conditions. “I think the demand hit we’ll see from a decline in corn ethanol production could be considerable. If we can get back to business as usual by Easter, it could be a different outcome, but there are lots of people pushing back on this being over by Easter.” Hubbs says the lack of ethanol demand is an incentive to not plant corn. The USDA Planting Intentions report will be released on Tuesday, March 31.
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