Organic Corn Prices Face Headwinds as Crack Corn Imports Surge

Organic Corn Prices Face Headwinds as Crack Corn Imports Surge

Organic corn prices remain stable but heavy, as organic cracked corn imports continue to make their way into the United States. In January approximately 33K metric tons of organic cracked unloaded on the west coast and east coast. Approximately 23K tons were unloaded in Stockton California, and 9K tons were unloaded in Morehead City North Carolina.

A rise in imports was expected, but the increase to nearly 33K tons was much greater than the 19K tons that were imported into the US in 2019. This figure was equal to the amount imported in 2018. On a year over year basis, for the 019/2020 season, organic cracked corn that is imported into the US is up 12%. This will likely continue to generate a headwind for organic whole corn prices which are hovering near the $8.15 picked up at the farm in the mid-west.

Organic cracked imports mainly came in through the east coast ports. Of the approximately 227K metric tons that hit the US shores in 2019, all but 39K tons came into the east coast. Most of the cracked corn arrived in either Morehead City North Carolina or Wilmington Delaware according to the Jacobsen Insight. While this does not tell you the final destination, it does describe where most of the organic cracked corn is headed. With transportation levels making a difference, and few places to store organic products on the east coast, organic cracked corn is likely consumed east of the Mississippi.


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