In an update last week from the Federal Reserve Bank of Kansas City, “Ag Credit Conditions Remain Strong as Risks Grow,” Nathan Kauffman and Ty Kreitman stated that, “Agricultural credit conditions remained strong in the second quarter, but slower improvement was expected in the coming months.”
Keith Good
Keith Good is the Farm Policy News editor for the farmdoc project. He has previously worked for the USDA’s National Agricultural Statistics Service, and compiled the daily FarmPolicy.com News Summary from 2003-2015. He is a graduate of Purdue University (M.S.- Agricultural Economics), and Southern Illinois University School of Law.
Over One Million Tons of Grain Exported by Ukraine Under Black Sea Agreement, But Global Grain Stock Rebuilding a Concern
Wall Street Journal writers Isabel Coles and Jared Malsin reported on Saturday that, “Exports of grain from Ukraine’s southern ports have surpassed one million metric tons under a United Nations-brokered deal with Russia that has held up for nearly one month even as hostilities rage elsewhere in the country.”
“Drought, Watchword of the Week,” While India May Curb Some Rice Exports, and Black Sea Exports Continue
Kirk Maltais reported today at The Wall Street Journal Online that, “The worst drought in a decade is posing fresh challenges to farmers in the Corn Belt who already are struggling with surging costs, the dark side of a post-Covid commodities boom.”
Drought Dents Crop Production Outlook in U.S., EU and China, as Ukraine Production Concerns About Next Crop Persist
Dow Jones writer Paulo Trevisani reported yesterday that, “Initial reports from the Pro Farmer crop tour point to disappointing yield potential.”
Thirty-Three Grain Cargo Ships Have Left Ukraine, While Dry Weather Weighs on U.S., China and European Production Prospects
Reuters writers Pavel Polityuk and Jonathan Spicer reported today that, “A total of 33 cargo ships carrying around 719,549 tonnes of foodstuffs have left Ukraine under a deal brokered by the United Nations and Turkey to unblock Ukrainian sea ports, the Ukrainian agriculture ministry said on Tuesday.”
Drought Negatively Impacting China, the U.S. and Europe, as Ukrainian Black Sea Exports Continue
Matthew Dalton, Jim Carlton and Sha Hua reported on the front page of today’s Wall Street Journal that, “Severe droughts across the Northern Hemisphere—stretching from the farms of California to waterways in Europe and China—are further snarling supply chains and driving up the prices of food and energy, adding pressure to a global trade system already under stress.”
Black Sea Export Deal Easing Ukrainian Grain Flows, Bringing Down Prices, as Ukraine’s Wheat Harvest 91% Complete
Bloomberg writers Elizabeth Elkin and Megan Durisin reported yesterday that, “Ukrainian grain flows are pushing down global prices as the newly opened crop-export corridor shows initial success.”
Emergency Water Cuts Announced for Colorado River Basin States, Farmers Impacted
Tony Briscoe reported on the front page of Wednesday’s Los Angeles Times that, “After Colorado River Basin states failed to meet a deadline for emergency drought reductions Tuesday, the U.S. Bureau of Reclamation announced new emergency water cuts for Arizona, Nevada and Mexico as the nation’s two largest reservoirs decline to perilously low levels.”
U.S. to Contribute $68 Million to World Food Program to Buy Ukrainian Wheat
William Mauldin and Jared Malsin reported in today’s Wall Street Journal that, “The U.S. Agency for International Development is spending more than $68 million to purchase and ship Ukrainian grain in the largest such export deal since Russia’s invasion this year and the start of a July agreement to allow for renewed shipments from Ukraine’s Black Sea ports.”
Drought and Hot Temperatures Negatively Impact European Union Grain Production
In its monthly World Agricultural Production report Friday, the USDA’s Foreign Agricultural Service (FAS) indicated that, “European Union (EU) (MY) 2022/23 corn production is forecast at 60.0 million metric tons (mmt), down 12 percent from last month, 15 percent below last year’s crop, and 10 percent below the 5- year average.”
Black Sea Export Deal Shows Early Progress, But Risks Remain
Jared Malsin reported in today’s Wall Street Journal that, “An international agreement to restore Ukraine’s Black Sea grain exports is showing early progress, with 18 ships moving to and from ports in Odessa nearly six months after Russia’s invasion bottled up a chunk of the world’s agricultural products.”
Federal Reserve Ag Credit Surveys- 2022 Second Quarter, Farmland Values Continued to Rise
On Thursday, the Federal Reserve Banks of Chicago, Kansas City and Minneapolis released updates regarding farm income, farmland values and agricultural credit conditions from the second quarter of 2022.
U.S. Food Prices Climb Most Since 1979
Don Lee reported on the front page of today’s Los Angeles Times that, “After months of steadily climbing to a 40-year high, the pace of inflation slowed notably in July as gas prices fell sharply and Americans got relief on the cost of clothing, used cars and some other necessities.”
Cautious Optimism on Ukraine Export Deal, But Relief For Importing Countries Won’t Be Immediate
Nabih Bulos reported on the front page of today’s Los Angeles Times that, “Russia’s invasion of Ukraine upended the workings of what before the war was the world’s fourth-largest grain exporter.”
Ten Ships Have Sailed From Ukraine Under Black Sea Export Deal, While France Endures Record Drought
New York Times writer Emma Bubola reported yesterday that, “The biggest caravan of ships carrying grain and other agricultural products since the beginning of the Russian invasion has sailed from Ukrainian ports on Sunday, heading to Europe, Asia and the Middle East through the mined waters of the Black Sea.”
World Food Prices Post Sharp Decline in July, as Three More Ships Depart Ukraine Under Black Sea Export Deal
Bloomberg writer Aine Quinn reported today that, “Global food prices fell the most since 2008 after concerns over supplies of grains and vegetable oils eased as Ukraine moved toward restarting exports.”
First Ship With Ukraine Grain Cleared- Sails to Lebanon, as Farmers Continue Reaping Crops in War Zone
Financial Times writers Laura Pitel and Felicia Schwartz reported yesterday that, “The first grain ship to set sail from Ukraine in months was cleared to embark on the final leg of its journey after passing an inspection by a team of international monitors in Turkish waters.”
“Months” Before Ukraine Grain Exports Reach Prewar Levels and Backlog of Grain in Storage Cleared
Financial Times writers Mehul Srivastava, Laura Pitel, Harry Dempsey and Emiko Terazono reported yesterday that, “Ukraine’s infrastructure minister has warned it will take months before grain exports from Odesa and neighbouring ports reach prewar levels and alleviate the global food crisis despite the relaxation of a Russian blockade in the Black Sea.”
Ukraine Grain Shipped, But Global Hunger Still Looms
Dalton Bennett and Kareem Fahim reported on the front page of today’s Washington Post that, “The first ship carrying grain departed a Ukrainian port early Monday under a United Nations-brokered deal to ease a global food crisis sparked by the Russian invasion of Ukraine.”
Under Export Deal, First Ship Carrying Grain Leaves Ukrainian Port of Odesa For Lebanon
Reuters writer Natalia Zinets reported today that, “A ship carrying grain left the Ukrainian port of Odesa for Lebanon on Monday under a safe passage agreement, Ukrainian and Turkish officials said, the first departure since the Russian invasion blocked shipping through the Black Sea five months ago.”