Dow Jones writer Yusuf Khan reported yesterday that, “Global production of wheat, corn, barley and other grains is forecast to hit an all time high in the forthcoming season, as strong supplies of corn in particular drive food production to record levels.”
Farm Policy News
Black Sea Grain Deal Extended for Two Months
Matthew Mpoke Bigg and Gulsin Harman reported in today’s New York Times that, “Ukraine and Russia agreed Wednesday to a two-month extension of a wartime deal that allows Ukraine to ship its grain across the Black Sea, a rare example of cooperation between the two countries.”
Global Soybean Production Forecast at Record Level, on Record Crops in Brazil, U.S.
In its monthly Oil Crops Outlook report yesterday, the USDA’s Economic Research Service (ERS) indicated that, “U.S. soybean production for the 2023/24 marketing year (MY) is projected to climb by more than 5 percent to a record high of 4.5 billion bushels based on higher yield and marginally higher planted area.”
Global Corn, Wheat Production Forecast at a Record, While El Niño “a Potent New Variable”
In its monthly Grain: World Markets and Trade report late last week, the USDA’s Foreign Agricultural Service (FAS) indicated that, “Global corn production is forecast to sharply increase, driven primarily by a forecast of continued high production in Brazil and rebounds in the United States and Argentina. Supplies in Ukraine are forecast to fall as the ongoing war limits production.”
Record U.S. Corn, Soybean Production Expected, as U.S. Wheat “Stockpiles to Fall to 16-Year Low”
Bloomberg writers Michael Hirtzer and Tarso Veloso Ribeiro reported on Friday that, “America’s wheat fields have become so plagued by drought that farmers are now poised to abandon crops at the highest rate in more than a century.”
Federal Reserve Ag Credit Surveys- 2023 First Quarter
Late last week, the Federal Reserve Banks of Chicago, Kansas City and Minneapolis released updates regarding farm income, farmland values and agricultural credit conditions from the first quarter of 2023. The Federal Reserve Bank of Dallas also released its Agricultural Survey for the first quarter in late March.
Fertilizer Prices: “Somewhat Varied”
DTN writer Russ Quinn reported last week that, “For the first time in several months retail fertilizer prices are somewhat varied, according to prices tracked by DTN for the first week of May 2023.”
Supreme Court Upholds California’s Animal-Cruelty Law
Adam Liptak reported in Friday’s New York Times that, “The Supreme Court on Thursday upheld a California law that sought to address cruelty to animals, saying the state could require pork sold there but produced elsewhere to come from breeding pigs housed in spaces that allow them to move around freely.”
“China May Cancel More US Corn,” as Extension Agreement on Black Sea Grain Deal “Nearing”
Bloomberg writer Hallie Gu reported today that, “Top corn importer China could cancel more purchases of the grain from the US because the country can buy more cheaply from Brazil and as some local producers of hog feed replace corn with wheat in their rations.”
Black Sea Grain Deal Talks Continue; FAS Highlights Russian Grain and Oilseed Exports
Reuters writer Daren Butler reported yesterday that, “Turkish Foreign Minister Mevlut Cavusoglu said on Wednesday he thought the Ukraine Black Sea grain deal could be extended for at least two more months, as officials from the parties involved held the first day of talks on an extension in Istanbul.”
Food Prices Climb 7.7 Percent Over the Last Year
Gabriel T. Rubin reported on the front page of today’s Wall Street Journal that, “Inflation edged slightly lower in April, likely keeping the Federal Reserve on course to pause interest-rate increases at its next meeting.”
Black Sea Grain Exports Resume- at Slow Pace, as U.S. Corn Exports in Focus
Reuters writer Michelle Nichols reported yesterday that, “The United Nations said inspections resumed on Tuesday of outbound vessels under a deal allowing the safe Black Sea export of Ukraine grain, which Moscow has threatened to quit on May 18 over obstacles to its own grain and fertilizer exports.”
No Black Sea Ship Inspections Sunday, Monday; China’s Foreign Minister Meets U.S. Ambassador
Reuters writer Michelle Nichols reported yesterday that, “The United Nations said no ships were inspected on Sunday or Monday under a deal allowing the safe Black Sea export of Ukraine grain, which Moscow has threatened to quit on May 18 over obstacles to its own grain and fertilizer exports.”
Black Sea Grain Export Deal “Effectively Stopped,” Ukraine Says
Reuters writer Olena Harmash reported today that, “Russia has effectively stopped the Black sea grain deal by refusing to register incoming vessels, Ukraine’s reconstruction ministry said on Monday.”
2022 U.S. Ag Exports Highest on Record, Focus on Corn, Soybeans and Wheat
Last week, the USDA’s Foreign Agricultural Service (FAS) released its 2022 U.S. Agricultural Export Yearbook, a statistical summary of U.S. agricultural commodity exports. Today’s update includes highlights from the report, with a focus on corn, soybeans and wheat.
Fertilizer Prices “Well Below Year-Ago Levels”
DTN writer Russ Quinn reported last week that, “Most average retail fertilizer prices continued to be down from the previous month in the fourth week of April 2023, according to sellers surveyed by DTN.”
Global Food Prices Climb, as “U.S. Corn Export Sales Hit Record Low”
Bloomberg writers Megan Durisin and Mumbi Gitau reported today that, “Global food prices rose for the first time in a year, just as the rampant run-up in grocery costs begins to cool in some countries.”
Wheat Climbs Following Kremlin Attack, While “China Has Approved the Safety of a Gene-Edited Soybean”
Bloomberg writers Megan Durisin and James Poole reported today that, “Wheat and corn futures steadied after Wednesday’s jump, as markets weigh up escalating tensions in the Black Sea region against burgeoning global supply.”
Black Sea Grain Talks to Continue, Wheat Slides, as Dollar Value in Focus
Reuters News reported today that, “The Kremlin said on Wednesday that Russia would continue talks with the United Nations and other parties to the Black Sea grain deal, and that Moscow would not do anything to harm its own interests.”
Iowa Farmers Worried, “Profits Per Acre Are a Concern,” China Food Security in Focus
Donnelle Eller reported on the front page of the Sunday Des Moines Register that, “Iowa farmers have a lot on their minds as they hook tractors onto planters this year: Skyrocketing interest rates are helping drive a 20% hike in the cost to plant the crop, along with higher seed, fertilizer, chemical and land costs, said Chad Hart, an Iowa State University agricultural economist.”