The August derecho that charged across the Midwest has taken its toll on the latest crop estimates in USDA’s September World Agricultural Supply and Demand report. Despite the decline, the numbers would still be records or near records for both crops this year.
The 2020 corn crop would still be nine percent higher than last year and the second highest in history, with a record yield of 178.5. The soybean crop is projected to be 21 percent higher than last year with a yield of 51.9, a tie for the record.
Corn production is forecast at 14.9 billion bushels, down 378 million from last month on a lower yield forecast and reduction in harvested area. Corn supplies are reduced from last month, as a smaller crop more than offsets greater beginning stocks mostly due to lower estimated exports for 2019/20. Corn used for ethanol for 2020/21 is lowered 100 million bushels based on the continued slow recovery in motor gasoline demand as a result of COVID-19. Exports are raised 100 million bushels reflecting reduced supplies in competitor countries.
Soybean production is projected at 4.3 billion bushels, down 112 million on a lower yield forecast of 51.9 bushels per acre. Yield is down 1.4 bushels per acre from the August forecast. With soybean crush and exports unchanged, ending stocks are projected at 460 million bushels, down 150 million from last month.