Experts expect a significant increase in crop forecasts for soybeans and corn in the United States in the new USDA report
Before the publication of the August USDA leading analytical balance the Agency's own estimates, according to which the production of soybeans and corn in the U.S. will increase significantly compared to the July forecast because good weather in the major States producing improves the condition of crops.
According to the weekly monitoring by the USDA, on August 9 in good or excellent condition are 81% of corn, whereas a year ago the figure was 57%. The rate of maturation is also higher than last year. In the stage of lactic ripeness are 59%, wax ripeness – 11% of the crops, whereas a year ago the figure was 34% and 6%, respectively.
the Amount of soybeans in good or excellent condition is 84% compared to 54% on this date last year. Pods formed on 75% of the crops, whereas a year ago the figure was 49%.
According to the average estimate conducted by The Wall Street Journal survey of analysts, compared with the July forecast corn production will increase from 381 to 385,2 mln t (345,9 million tons in 2019), and soybean production from 112.5 to 116.3 million tons (96,7 million tons in 2019) due to the increase in the yield of these crops. In addition, it is expected that in comparison with estimates of the July ending stocks of corn in the U.S. in 2020/21 MG will grow by 5.8% to 71.2 million tons, soybeans by 23% to 14.2 million tonnes, while world ending stocks of corn will increase by 1.7% to 320,4 million tons, soybeans – by 3.2% to 98.2 million tons.
While prices for soybeans and corn remain under pressure to increase their production forecasts in the US, but Brazil will also increase production of these crops, as high prices and strong demand encouraged farmers to expand acreage. According to local analysts, compared with the current season, the soybean crop in the country may increase from 122 to 130 million tonnes, and maize – from 100 to 107 million tons.