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Corn crop guess higher despite early flooding

By Jennifer Bremer

Adversity would be the best description for what Midwestern farmers have had to deal with this year--high input costs, floods, replanting, along with pests and diseases.

The Aug. 12 U.S. Department of Agriculture crop report showed a larger than previously expected corn crop and smaller than expected soybean crop.

The report showed an expected corn yield at 155 bushels per acre, up 6.6 bushels per acre from the July estimate. Corn harvested acreage is now estimated at 79.290 million acres compared to the July estimate of 78.940 million acres. This projection implies that producers will be able to harvest 91 percent of the 87 million acres planted, which is more than the month's earlier estimates and more than expected because of the spring flooding in the Midwest.

Corn production is expected by USDA to total 12.288 billion bushels, up 573 million bushels from USDA's July estimate of 11.715 billion bushels.

The numbers had an effect on corn prices the day of the release, but analysts believe that to be short-lived.

On the soybean side, USDA estimates an average soybean yield of 40.5 bushels per acre, down slightly from the July estimate of 41.6. Soybean production is expected to total 2.973 billion bushels, down 27 million bushels from USDA's July estimate of 3 billion bushels. Soybean harvested acreage is now estimated at 73.341 million acres, up 2 percent from the July estimate of 72.121 million acres.

If realized, this will be the fourth largest soybean production on record.

Iowa State University Extension soybean specialist Palle Pedersen said soybeans in the state continue to grow, but are suffering the effects of the stress from flooding.

While there are some concerns about pests such as soybean aphids and disease problems, Pedersen said the main concern now is the fear of an early frost.

"Soybean aphid may be a problem, but they are very easy to manage as long as we scout and don't spray before threshold. Sudden death syndrome is also coming in strong now, which is related to seedbed conditions and what happened earlier during the growing season and there is nothing that we can do to get rid of it," he said. "But with later plantings we are very concerned about the fear of an early freeze before beans are ready to be harvested."

Iowa Secretary of Agriculture Bill Northey said, "Recent weather has been beneficial for crop development and has helped farmers with pasture and those who have been making hay.

"We have seen a few storms with damaging winds and hail but, thankfully, those have been scattered. There are some reports of soybean aphids, but weather has allowed farmers to get in to spray. Full crop maturity will still require a later than normal frost."

The National Corn Growers Association was pleased with the USDA numbers, which predict a 2008 corn crop of more than a half-billion bushels higher than July's estimate.

"This is great news, not just for corn growers, but for everyone," said NCGA President Ron Litterer. "We're committed to meeting all needs and this estimate indicates we are growing the corn this year to do so-and provide a solid carry-out into 2009."

Litterer said after the June floods, July provided near-perfect growing weather across much of the Corn Belt.

"What also helped was the fact that growers are planning wisely, working hard and using technology on the farm to maximize production, whether in mapping out planting or using seed hybrids that are more resilient."

Litterer noted the USDA reported that the 2008 crop condition is actually better than at this time one year ago. Sixty-seven percent of the crop is rated good or excellent, compared to 56 percent in 2007.

If realized, this corn yield would be the second highest on record, behind 2004. Production would be the second highest on record, behind last year when producers harvested the most acres of corn for grain since 1933.

Extensive rains and flooding during June in several Midwestern states caused producers to change harvesting intentions for crops already planted and modify planting decisions for acres not yet planted. In an effort to more accurately determine how many acres producers planted and still intend to harvest, approximately 11,000 farmers in flood-affected areas were re-contacted to make the report more accurate.

Jennifer Bremer can be reached by phone at 515-833-2120 or by e-mail at jbremermaj@hotmail.coms.

8/18/08
1 Star WK\2-B

Date: 8/14/08


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