New-crop December corn prices topped $4.30 per bushel in mid-week following a few bull signs from the Jan. 12 USDA crop reports. But that doesn’t generate a strong enough cash price to temp many farmers to make early sales, say two university grain-marketing specialists....More
Recent value adjustments in the land market still leave land values at historically high levels in the longer term view. Price softening is happening, but at different rates depending on the region, prices for major commodities in that region, and quality of the land. Profitability from record crop incomes supported by insurance coverage, has kept farm operations in the black and producers interested in adding land.
Short-dated new crop options (SDNC), available since mid-2012 from the CME Group, Chicago, Ill., provide a short-term alternative for trading new-crop corn and soybeans as well as hard red winter wheat and soft red winter wheat. CME reports that more than 2.5 million SDNC contracts have been used....More
The reality is setting in that some producers, particularly those in the grain sector, will experience negative margins in 2015, which is something not experienced in many years. How can a producer troubleshoot their business and work with their lender when margins are tight, or even negative?...More
In 2015, crop revenues are likely to be significantly reduced compared to revenue levels in recent years. 2015 crop input costs for seed, fertilizer, and chemicals are likely to be similar to 2014 levels, and land rental rates will likely remain fairly high, which adds more risk to 2015 crop production....More
The Jan. 12 Grain Stocks report from USDA estimated corn stocks up 7% and soybean stocks up 17% from the December 2013 report. Bushels stored on farm are also up over a year ago, for both corn and soybeans....More
Five ag stories to read this week includes management tips for soybean cyst nematode. Read about a family using solar and wind energy to power their farm, and use a tool to help with crop insurance decisions. Xpert Ed Usset offers a marketing plan for the coming months, and singer James Wesley thanks farmers.
Moral of the story, don't overthink this market and do not get overly convicted to your preconceived ideas or thoughts. This is simply about reducing your risk and turning a profit. The easier you can accomplish this goal the better your going to be....More
The U.S. Department of Agriculture (USDA) has begun its celebration of the International Year of Soils to highlight the importance of healthy soils for food security, ecosystem functions and resilient farms and ranches....More
One of the key components for farm operators to understand as they evaluate the new farm program options is the concept of Market Year Average (MYA) price. The MYA price for a given crop year is used to calculate any potential payments for all three farm program options: Price Loss Coverage (PLC), Ag Risk Coverage-County (ARC-CO), and Ag Risk Coverage-Individual (ARC-IC). The historical MYA prices are also used to determine the benchmark revenues for both the ARC-CO and ARC-IC program options....More
The five agriculture stories to read this week include farm revenue outlook for 2015, as well as long-term agricultural projections. Read about a farmer who is building soil organic carbon to grow better crops, and a company that's got a robot to do your nitrogen sidedressing. Finally, for some entertainment, take a fresh breath of farm air with the Peterson Farm Bros.
We've posted a lot of great stories and photos on the web this year! These are our most-viewed pieces and cover a variety of topics from helpful aerial images to GMOs, making a profit with lower corn and soybean prices to no-till yield secrets, and more! Check out our best from the web for 2014, and stick around for more great stories and photos in 2015.
Corn and soybean prices are higher today than they were in early October. However, despite an impressive “dead cat” bounce, prices remain below production costs. Marketing plans are difficult to write when prices are below costs, but write one we must. Here are my pre-harvest marketing plans for 2015....More
As a producer, I continue to hold out for slightly higher corn prices before pulling the trigger on additional sales. From a spec perspective, I prefer being a longer-term buyer on a deeper break. And I am sticking with the thought that higher soybean prices might be in our near-term future....More
2015 is setting up to be another interesting year in the agriculture industry, following a fairly profitable year in 2014 for many livestock producers, but a far less profitable year for most crop producers in the upper Midwest. 2015 will bring farm program sign up, as well as continued uncertainty about renewable fuels. There are also crop production costs to consider, and the hope that land values continue to moderate....More
Ask about the qualities of Chris Novak, the National Corn Growers Association’s (NCGA) new chief executive officer, and common themes quickly become apparent. Members of the NCGA selection committee, which picked Novak to succeed retiring CEO Rick Tolman, call Novak “strategic.” John Johnson, National Pork Board acting CEO, who worked under Novak there, calls him “a strategic thinker par excellence.”...More
This is the second of a two-part article highlighting what happened agriculturally in 2014. Last week’s article provided a review of 2014 crop production and weather conditions. This week we will focus on some highlights regarding input costs, grain prices and the overall farm economy for 2014....More
With corn futures prices seeing a nice little rally above $4 per bushel, it may be time to look for early 2015 crop pricing opportunities in a market that will likely see continued volatility next year, says Scott Irwin, University of Illinois ag economist....More
U.S. corn exports rebounded dramatically in 2012/13 from the previous market year, when sales hit levels not seen since 1970. The first six weeks of the current marketing year suggest further improvement....More
Five agriculture stories to read this week offer 2015 crop budgets and insight into falling gas prices. Read about lower land values, and see what's on Xpert Ed Usset's corn and soybean marketing wish list this Christmas. For some fun, check out amazing RC tractors at work.
In this third installment of our best stories from 2014, farmers learned the best ways to seed cover crops and how high-moisture corn can offer a yield boost. There were also stories about tillage: spring vs. fall strip till, and using tillage to control herbicide resistant weeds. Of course there were data insights, from soil maps to farming smarter with big data. Nitrogen application tips were offered, as well as a strategy for lean years on the farm. All of these stories helped readers and farmers Think Different about their operations.
2014 will be remembered as the second crop year in a row with weather extremes and highly variable crop conditions in many areas of Minnesota and Iowa. A mid-September frost across a wide area of south-central Minnesota and north-central Iowa resulted in an early end to a growing season, which already featured later than normal maturing crops. The end result was some very disappointing corn and soybean yields in many areas of Minnesota and northern Iowa....More
The reality has set in that grain prices, cash flow and profit margins will be modest at best. Whether this part of the cycle correction will be one, two, or even five years or more in duration, farmers and their lenders will have to manage through these economic white waters....More
A big challenge – nitrogen management – could have a small solution. Rowbot Systems, a Minneapolis startup company, has developed an multi-platform robot that, among other things, can side-dress nitrogen in tall corn....More