Wall Street Journal writer Josh Zumbrun reported last week that, “Beijing’s commitment to step up purchases of U.S. goods and services under a 2020 trade pact expires Friday [December 31st] with China expected to miss its targets by a wide margin, creating a dilemma for the Biden administration as it calibrates a response.”
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.
WSJ: Farmers Expected to Increase Planting, But Input Costs, Weather, and Chinese Demand Bring Uncertainty
Wall Street Journal writer Kirk Maltais reported in today’s paper that, “A banner year for grain prices has U.S. farmers aiming to plant even more corn, wheat and soybeans than they did in a record 2021. But high fertilizer prices, forecasts of more wild weather and the threat that China slows its buying loom over the year ahead.”
China’s Domestic Pork Production Targets Seen to Bolster Grain Imports
Last week, Bloomberg News reported that, “China’s reaffirmation of a long-term goal to be almost entirely self-sufficient in pork production means it will keep scooping up global grain supplies to feed the world’s largest pig herd.”
China’s Imports of U.S. Soybeans Climbed in November, as Biden Administration Contemplates Trade Deal Enforcement
Reuters News reported earlier this week that, “China’s November soybean imports from the United States surged from October, customs data showed on Monday, as the effects of the export disruptions from Hurricane Ida earlier this year started to clear.”
California Pork Production Law Leads to Reduced Pork Sales
Reuters writer Tom Polansek reported last week that, “Seaboard Foods, the nation’s second-biggest pig producer, said on Friday it will limit sales of certain pork products in California due to a measure requiring farmers to provide more space for animals raised for food sold in the state.”
Wheat: Major Exporters’ Ending Stocks Lowest Since 2007/08, as U.S. Winter Wheat Crop Struggles
In its monthly Wheat Outlook report last week, the USDA’s Economic Research Service (ERS) stated that, “U.S. wheat exports in October dropped by nearly half from the previous month to only 46 million bushels, the smallest monthly total in more than 30 years.”
ERS: “Corn Use Projected Slightly Higher than 2020/21 Record,” Cash Prices Firm During Harvest
In its Feed Outlook report this month, the USDA’s Economic Research Service (ERS) stated that, “Total corn use for 2021/22 is projected at 14,830 million bushels. This number is slightly larger than the 2020/21 record amount of 14,818 million bushels.”
U.S. Fourth-Quarter Pork Export Forecast Lowered, as Chinese Import Tariffs Set to Rise
In its monthly Livestock, Dairy, and Poultry Outlook report last week, the USDA’s Economic Research Service (ERS) stated that, “Lower-than-expected October pork exports—at about 541 million pounds—prompted a reduction of 30 million pounds to the fourth-quarter export forecast.”
WSJ: Fertilizer Prices More Than Doubled Over Past Year
Wall Street Journal writers Patrick Thomas and Kirk Maltais reported in Thursday’s paper that, “Fertilizer prices have more than doubled over the past year, frustrating U.S. farmers, who now are adjusting spring planting plans and warning about the potential for higher food prices.”
Iowa Farmland Values Up 29%
A news release Tuesday from the Center for Agricultural and Rural Development at Iowa State University and Iowa State University Extension and Outreach indicated that, “After several years of modest gains and losses, the average value of an acre of Iowa farmland skyrocketed 29% in 2021.”
ERS: “Soybean Oil Domestic Use Expected to Grow,” Renewable Diesel a Factor
In its monthly Oil Crops Outlook report this week, the USDA’s Economic Research Service (ERS) indicated that, “U.S. processors crushed a record 197 million bushels of soybeans in October, nearly 0.5 million bushels higher than the record established in October 2020.”
An Overview of U.S. Farms From USDA’s Economic Research Service- 2021 Edition
Last week, the USDA’s Economic Research Service (ERS) released its annual report exploring characteristics of U.S. farms: “America’s Diverse Family Farms: 2021 Edition.”
Fertilizer Prices- Still No Reprieve
DTN writer Russ Quinn reported last week that, “Average retail prices for most fertilizers continued to rise at a good clip the first partial week of December 2021, according to sellers surveyed by DTN. Once again, the nitrogen fertilizers maintained their spot as the clear leaders.”
U.S. Food Prices Climb
Washington Post writer Rachel Siegel reported last week that, “Prices rose at the fastest pace in nearly 40 years last month, increasing 6.8 percent over the same period a year ago, as inflation continues to squeeze households and businesses nationwide and complicates the political environment for Congress and the White House.”
Kansas City Fed: Prospects for 2021 Farm Income Remain Strong, But Input Costs Have Risen Considerably
In an update earlier this month from the Federal Reserve Bank of Kansas City, “Limited Demand for Farm Loans, But Strong Profits for Ag Banks,” Nathan Kauffman and Ty Kreitman stated that, “Agricultural lending at commercial banks continued to decline but showed some signs of stabilizing in the third quarter.”
EPA Proposes Cuts to the Renewable Fuel Standard
Reuters writers Stephanie Kelly and Jarrett Renshaw reported this week that, “The Biden administration on Tuesday proposed scaling back the amount of biofuels that U.S. oil refiners were required to blend into their fuel mix since the onset of the COVID-19 pandemic.”
Global Market Variables Impacting Urea
New York Times writer Raymond Zhong penned an article this week discussing market factors associated with urea, and pointed out that, “[Prices] are soaring to levels not seen in over a decade.”
U.S. Soy Exports to China Face Headwinds
Reuters writers Hallie Gu and Karl Plume reported this week that, “China’s soybean imports from the United States in 2021/22 are expected to fall sharply from last season after loading delays following Hurricane Ida.”
Fertilizer Prices Continue to Climb, 2022 Planted Acreage Analysis Continues
DTN writer Russ Quinn reported last week that, “Nitrogen fertilizers maintained their spot as the clear leaders as average retail fertilizer prices continued to climb higher the fourth week of November 2021, according to sellers surveyed by DTN.”
Global Food Prices Approach Record High
Bloomberg writer Grace Gitau reported last week that, “Food prices climbed closer to a record high, giving consumers and governments around the world an even bigger inflation headache.”