The October USDA crop production report out this morning took a little bit more off the corn crop but increased the soybean crop by nine percent.

Corn production is forecast at 10.7 billion bushels, down slightly from the September forecast and down 13 percent from 2011. This represents the lowest production in the United States since 2006. Based on conditions as of October 1, yields are expected to average 122.0 bushels per acre, down 0.8 bushel from the September forecast and 25.2 bushels below the 2011 average. If realized, this will be the lowest average yield since 1995. Area harvested for grain is forecast at 87.7 million acres, up less than 1 percent from the September forecast and up 4 percent from 2011. Acreage updates were made in several States based on administrative data.

Soybean production is forecast at 2.86 billion bushels, up 9 percent from September but down 8 percent from last year. Based on October 1 conditions, yields are expected to average 37.8 bushels per acre, up 2.5 bushels from last month but down 4.1 bushels from last year. Compared with last month, yield forecasts are higher or unchanged across all States. Area for harvest
in the United States is forecast at 75.7 million acres, up 1 percent from September and up 3 percent from last year. Acreage updates were made in several States based on administrative data.

The cotton forecast was increased by one percent to 17.3 million 480-pound bales and the new citrus crop production report has oranges up four percent from last season at 9.37 million tons.

*POST UPDATE with audio*
The Minneapolis Grain Exchange crop conference call this morning featured Randy Martinson, Progressive Ag, who also provided commentary on the October WASDE report, which lowers ending stocks for wheat by 44 million bushels, and beginning stocks for corn by 193 million bushels.

Listen to the MGEX crop call here: MGEX October crop report call