China has purchased the 12 million metric ton soybean obligation with the United States. NDSU Extension Crops Economist Frayne Olson expects those shipments to happen in February and March from the Gulf or the Pacific Northwest. Corn is the current priority for the PNW. “Will they switch over and have higher volumes of soybean shipments is kind of uncertain, so I’m not really convinced it’s going to show up as a basis play.” Analysts are calling for a reduction in corn acres nationally this spring and a small uptick in soybeans. NDSU Extension Crops Economist Frayne Olson is looking at a different scenario in North Dakota. “What I’m hearing from farmers in this region is at least the same amount of corn, maybe a little more. I think soybean acres, based on what I’m hearing, will probably stay flat. We might see a little dip in the spring wheat acres.” Olson spoke at the North Dakota Livestock Summit, saying corn and soybean meal supplies will remain more than adequate. With the amount of crop stored outside in the region, Olson asked livestock producers to be alert to potential quality issues.
