Organic corn trading activity continues to remain subdued with a few spot loads trading, but very few forward contracts transaction. Organic corn prices continue to hover around $8.15/25 FOB the farm. Organic corn prices have been capped by a combination of robust imports and plenty of corn that remains in bins and has yet to have found a price. The opaqueness of organic soybeans available is palpable. Organic soybeans were harvested wet and merchandisers are having a difficult time determining how much domestic supply is available. Organic soybean prices remain near $19.5 picked up at the farm in Wisconsin, and Illinois but organic soybean prices have edged above $20 in Minnesota and South Dakota.
The demand for organic soybeans and organic corn should continue to climb. Organic layer numbers continue to grow, despite prices remaining stable. The USDA shows that FOB eggs per carton, have remained steady during the past 3-years. This comes as the availability of organic layers continues to climb which provides liquidity.
Organic chicken layer numbers have continued to trend higher according to The Jacobsen. The total organic flow size has increased by approximately 20% since the middle of 2016 according to historical estimates of organic flow size calculated by The Jacobsen. Steady elevated prices of organic eggs have provided farmers with access to a steady flow of business. Organic egg sales from organic chickens are expected to remain unchanged during the 2019/2020 season, according to the Jacobsen insight. The total notional value of organic egg sales is expected to be reduced by a further decline in prices, which is offset by slightly higher unit sales. The organic chicken layer market trend looks as if farmers are prepared for higher unit demand.