Farmers in south central Wi. are starting to chop what is a very dismal corn crop. At least they’ll be able to get a small amount of silage to feed animals for a little while. Be prepared to shell out alot more at the stores and gas stations in the very near future and for years to come. It’s gonna hurt us all. 
Same down here in SE Iowa. Most farmers will be chopping it next week if we don’t get rain.
Already happening in many areas of IL as well. SE WI, we have had two measurable rainfalls since early May. Some corn fields look like extra tall grass, and almost past the point where ears of corn can even be produced. Situation is across much of the midwest, and spreading…
Shouldn’t have a damned thing to do with gas prices. Ethanol plants are shutting down now and the rest will for sure once corn hits 8 dollars. Then once the plants go down so will the price of corn.
The US corn crop went from a projected record breaking harvest to devastated very, very badly by this drought in a short period of time. However, don’t confuse yellow #2 corn used for non-human consumption with anything used in our food products. I suspect the outlook for the sweet corn crop is much the same as field corn, but I have not read anything factual at this point.
Ok, time for my college experience to weigh in on the equation here.
It is sad that corn across the United States this year is taking a HUGE hit. Farmers across the midwest are going to feel it in their pocketbooks come fall. I will say that as an energy source ethanol is worthless. Now that corn is high (above $7.00/bu), combined with the drought that the midwest is experiencing, most people think that EVERYTHING will go up.
NOT TRUE!!!!!!!! Here is one little tidbit that everyone forgets about. This year, 12 million, yes MILLION ACRES of land in the CRP program expires (or whatever you want to call it). Over 9 million acres of this ground was planted into corn this year, and some of the rest into soybeans (not sure on the #’s for beans). Now I am not positive on the total acreage of corn planted in the U.S. on average, but I know that 12 million acres of corn will definitely impact the prices and cause them to fall.
Some of this land is in these affected areas, but over 70% of this corn from the CRP are in areas that have received enough rain and GDU’s to produce a decent crop.
Long story short, the price of corn will be high until about November, then you will see it plummet to below $4.00. Just my 2 cents…
This is for for standard U.S. No. 1 and 2 yellow corn. Food prices might be different 
The news reported that up to 75% of food has something to do with corn. Gonna get real expensive to eat this winter.
Quote:
The news reported
Just lookin’ for facts… 
Sad news.
Quote:
Throughout the Midwest, farmers are seeing signs of damaged crops. In the 18 states that produce most of our corn, only 31% of the crops were rated good or excellent this week, that’s down from 40% last week, according to the U.S. Department of Agriculture. This same time last year, 66% of corn crops were rated good or excellent. Soybean crops, which can be used in creating diesel fuel, are seeing similar troubles; 34% of the U.S. crop was rated good or excellent, down from 40% last week. This time last year, 64% were in that condition.
Forget about the crop farmers. Most have very good insurance to at least cover their input costs (Plus they all had world record years in 2010 and 2011.. It’s the dairy, hog and chicken farmers that will take a HUGE hit. Regardless of how many CRP acres were planted there is still a projections (as of yesterday) that overall production will be down by 12% and continue to fall as the droubt goes on. it WILL drive the price of corn and beans up and up. In turn, these prices will fall back on to the guys that have to feed their animals to produce THEIR products. If milk prices drop and the feed costs increase, I hate to see what it will do to some already hangin’ by a thread dairy farms. It’s a bad deal all around.
Quote:
The news reported
Recession had ended and job growth began too…. 
Quote:
The news reported that up to 75% of food has something to do with corn. Gonna get real expensive to eat this winter.
Exactly…Although people generally don’t eat field corn, they do eat beef, pork, chicken, etc. that are feed corn. Also, ever hear of high fructose CORN syrup… it’s in most every can of soft drink.
Also, Minnesota mandates the use of oxygenated fuels (a.k.a. ethanol)which is made from corn. Corn is also used to produce plastic (PLA).
Corn and soybeans are also a big export commodity for the U.S.
I have no idea how much food prices will increase. I’ve read that a lot of cattle are being auctioned for slaughter because of the drought so it seems to me that meat prices may actually drop in the short term but with the herds culled back, the long term prices should tend to increase.
Boone
Speaking of CORN, my cousin farming in Southern MN said his corn was shoulder high or better by the 4th of July, now well over his head.
Most had all tasseled out early and the biggest problem in many areas the CORN TASSLED OUT before the ears began and tassels dropped before the Silk came out.
Without the Silk, there is no pollination and thus no corn growing in the ears.
Sad, sad, sad.
Quote:
Most had all tasseled out early and the biggest problem in many areas the CORN TASSLED OUT before the ears began and tassels dropped before the Silk came out.
Without the Silk, there is no pollination and thus no corn growing in the ears.
Sad, sad, sad.
Exactly, happening all over
Here in western WI, this is looking to be the best corn crop my grandpa can remember in his lifetime-tassled out by July 1st. You really don’t have to worry about the tassels coming on too early. There is a LOT of pollen per tassle. Seed corn is grown with 1/5th of the field having tassels. 
Yea, to say this won’t have an effect is just wrong.
Animal feed prices, beens, corn and all the cash crops of the midwest; beats, lettuce, cabbage potatoes, on and on, are all effected. Even on fields with irrigation, most streams and farm ponds are drying up, and the cost to keep those areas watered is going up. A fair amount of the effected corn is actually exported as well… and that demand keeps rising. Prices will be higher.
Where it was earlier expected that many hay producers would see three to four good cuttings, those fields are already dormant. As prices go up, more animals will be slaughtered to offset the expected feed prices to avoid losses, so while meat may fall for a short time, the long run will bring a larger spike as well, and it won’t end soon.
And what about the guys making payments on equipment,,,could be a rough winter.
I had heard the population of the United States was now over 300 million people. Another figure I heard was that there are 200,000 people born every day. I don’t know if that’s just this country or world wide. Another thing is people are living longer so we have more and more people to feed. Really makes you think “where does all this food come from?”
I have farmers in my family, so don’t take this like I’m trying to be a jerk.
This is going to cost us for a long, long time. Between the increase in ethanol mandates,(from 10% to 15% minimum blend) to feed costs, to consumer meat prices, we are going to suffer for years to come.
But this “corn bubble” was bound to be burst somehow, whether it was done naturally (drought) or artifically (economy). The way land speculators and REIT’s (real estate investment trusts) have over inflated land prices, the bottom was going to fall out of the corn market eventually.
Sooner or later farmers will learn that diversification is more profitable for the long term. Our system of Monoculture is great during the high times and really hurts during the down times.
I hope this is the kiss of death for corn based ethanol. Its inefficient and cost prohibitive and it makes no sense to burn our food as fuel!
Soylent Green.
The ethanol mandates may be rescinded if the supply of corn feed stocks is low enough.
I’m glad to hear your grandpa has a good crop Jake, but just south of you the crops make for better firewood than anything you would put on your plate. Those released 12 million crp lands that were planted this year ain’t gonna mean squat when 3/4’s of it gets plowed under. I hope I’m wrong, but my college edjimication tells me you’ll be paying more too just like the rest of us. 
has anyone seen any locusts?
Here I go again…..
Brazil and South America control much of the prices for crops simply based on quantities moved. They have a TON of crop land and can have a huge effect on the local prices. This is a problem for the local economy, but globally is simply a blip on the radar.
Corn/soybeans are simply engineered to be better. They can handle rain or drought conditions better now then they ever could. Not saying that farmers will get even a decent crop, but the outlook is much better now than a few years ago. The genetics of seeds now is fantastic.
Most crop insurance is covered by the farm bill. One of the few things in the farm bill that is actually farm related (mostly food stamps/welfare is contained in the farm bill, but legislators look stupid if they call it the welfare bill). This means that we will all be paying for this and the farmers should be alright.
The dairy/beef industry has been hit the hardest by the corn prices being artificially inflated by whatever scapegoat you would like to use. This is where you will or should see in the next few years. Guys in some areas are butchering animals early because they cannot afford to keep them watered. The free rangers out west are being killed by this right now.
I grew up on a farm, have numerous ties to the farm, and honestly feel horrible for farmers. They work long hours in dangerous conditions, in all weather to make a meager/modest living. I will give them all the respect in the world.
I’ll agree that some things will be more expensive, except the price of corn 
sometimes I can be a pain in the 
just ask anyone who knows me. I hope that the farmers to the south get rain every day for the next two months. I know in southeastern WI (where my girlfriend is from), they haven’t had rain since early May. Sad stuff.
As far as locusts go…knock on wood. The last thing we need are the soybean crops going to crap because of pests (disease or insect).
With the influx of many farmers across the country switching their crops to corn in hopes to capitalize on record high corn prices in the past I think we have a bit of a cushion to absorb the hit. Taking in account that what use to be 80% of corn use to be converted to feed is now 41% for feed 34% t0 39% for ethanol production and the remainder for food and textiles.
Heck no Jason, the asian beetles wiped them out years ago.
Quote:
I grew up on a farm, have numerous ties to the farm, and honestly feel horrible for farmers. They work long hours in dangerous conditions, in all weather to make a meager/modest living. I will give them all the respect in the world.
I too grew up on a farm,,and it wasnt a big one. While SOME make a meager/modest living, some do very………. very well. We need to be careful about lumping into one group. 
I and my dad farm in Central Eastern Iowa South of Waterloo. We just got a rainfall on Friday and Saturday that totalled about 2″, and I thought all of the farmers here were going to do backflips in the strret. The drought is very serious and widespread, but I wouldn’t feel too bad for the farmers, because if you do not buy federal crop insurance which covers drought(not real well, but is covered), then you are just flirting with disaster. I know some guys don’t buy the federal crop, but that’s their decision and they have to live with it. In my opinion the crop prices are probably going to continue to go up. Right now is a critical point in the crops’ life and every day without rain shrinks the crop more and more.
The farm that I hunt in SD has been preparing for this, he keeps his farm diversified. He was telling last year how all his neighbors quit raising cows and tilled up all their pasture for corn because of their above normal rain they had been getting. He warned that if they had a drought the big guys were going to be hurting trying to meet their ethanol contracts. It will be interesting to see how things are out there this year. It looks like they may actually be in an area that isn’t as bad as they are further south.
I know my corn is looking really good, that 1″ we got last friday really helped.
Also our area was hit by the windstorm last year that destroyed our corn crop, so this is the second year in a row of tough conditions.
You must be logged in to reply to this topic.
