“Due to an early start to the (beet) harvest, the entire increase in sugar is expected in August and September adding a net 45,000 tons to 2014-15 production”.
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Soybean costs tumbled to an nearly one-month low after the USDA’s estimates for manufacturing and yields got here in a lot larger than analysts’ expectations.
Record summer rains have damaged roughly a quarter of Indiana’s soybean and corn crops, an estimated $400 million loss that led federal officials Wednesday to declare much of the state a “disaster area”. Production will drop 2.5 percent in Illinois, the nation’s leader.
“Our feeling is (this crop) is in line pretty similarly to where we were last year, especially on production, and that is what this report says”, Krissek said.
Increases are forecast for peanuts and dark fire-cured tobacco. This year’s projected production still would be the third-largest ever. Harvested area for grain, at 1.30 million acres, is down 10 percent from a year ago. Nine percent of the crop has dented, in-line with last year, but a little slower than average. Peanut production is forecast at 742 million pounds, up 34 percent. That figure is up from the 209.7 million metric tons forecast for a year earlier.
Florida cotton production at 145,000 bales is down 24 percent from 2014. The estimates for the corn and soybean crops in the US significantly exceeded the market’s expectations. It pegged U.S. corn stockpiles then at 1.7 billion bushels, higher than analysts’ expectations for about 1.4 billion.
It’s corn price forecast ranges from $3.35 to $3.95 a bushel – 10 cents lower at both ends. Last year’s US soybean yield was a record 47.8 bpa. Within this estimate, the projection for corn used for ethanol and byproducts rose to 5.250 billion bushels, up 25 million bushels from July.
CBOT September wheat futures fell 15 cents, or 3 percent, to $4.9225 a bushel.
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The USDA revised its forecast for the US cotton harvest down by 1.42m bales to 13.08m bales where markets had expected an upward revision. Peanut production is forecast at 374million pounds, down 9 percent from 2014. However, the new crop global stocks were bearish up 1.67 million metric tons from last month. The average yield is forecast at 2,400 pounds per acre, down 100 pounds from past year. This suggests a 4% increase over past year.
