World corn trade started the 21/22 international crop year at a more sluggish pace than anticipated. This is mostly due to last summer’s surge in feed wheat purchases from global exporters. Oct-Nov shipments from the six major corn exports totaled 25 MMTs, vs. 27 MMTs a year ago, and the year-over-year decline does not align…
The Economic Research Division of the USDA released their latest estimates for national average crop production costs for the upcoming 2022/23 crop year. As expected, total cost projections were higher, and in the case of corn and soybeans, the USDA projected record high per acre costs. Surprisingly, corn seed cost was projected to be down…
RMA’s winter wheat acreage enrollment (insurance) data is not complete in late December, but it is useful in measuring year-over-year changes to US winter wheat seeding. The RMA data is helpful in forecasting NASS seedings. Shockingly, US winter wheat acres enrolled in RMA programs for 2022 totaled just 10.7 Mil acres, down 894,000 from a…
NASS will release the December Hogs and Pigs report next week based on surveys that were completed in early December. Estimated hog producer margins were positive for most of 2021, with wean-to-finish margins showing positive returns for 14 consecutive months. The chart shows that producers have responded to positive margins in recent months. The weekly…
The heating oil/soybean oil spread (HOBO spread) has long been used as a proxy for biodiesel production margins. The spread in the chart includes an additional $1 in the calculation to reflect the biodiesel blender’s credit. However, the spread does not account for the price of RINs that are traded in a secondary market. The…
