Corn and Soybean Production Increases on Improved Yield Forecasts

The October World Agriculture Supply and Demand Estimates (WASDE) released by the USDA provided a fresh look at a turbulent farming situation for the 2021/22 crop year. Yields for corn and soybeans edged higher, while wheat yields continued lower. 

Beginning 2021/22 crop year stocks for corn were adjusted 49-million-bushels higher based on a 72 million reduction to 2020/21 supply and an 8 million bushel increase in exports, which was more than offset by domestic use being forecast 129 million bushels lower during the 2020/21 crop season. Corn production for 2021/22 is forecast 23 million bushels higher due to a 0.02 increase in yield per harvested acre. The expected corn yield moved from 176.3 bushels per acre to 176.5. Total 2021/22 supply is forecast 72 million bushels higher to 16.28 billion bushels. Food/residual corn demand was lowered 50-million-bushels while “food, seed &…