(Indianapolis) – Oct. 12, 2023 – Indiana Farm Bureau’s Chief Economist Todd Davis is offering his insights on the latest World Agricultural Supply and Demand Estimates (WASDE) report released earlier this afternoon by the U.S. Department of Agriculture (USDA).
“Although soybean crop in Indiana is expected to be slightly smaller than last year, projected corn yield could hit a record amount of 197 bushels per acre, which would be 9% more than last year,” said Dr. Davis. “So, in the U.S., we have plenty of corn and are pretty tight on soybeans. Fortunately for corn growers, corn prices are currently rallying alongside higher soybean prices.”
According to Dr. Davis, the corn and soybean markets are beginning to come to terms with the yield uncertainty from the early-season drought. The market will absorb the updated production information in November and January and then shift its focus to factors that could improve corn and soybean demand and prices.
“After farmers park the combine this fall, I recommend really evaluating costs for next year,” added Dr. Davis. “Farmers should evaluate the benefits of selling grain in storage to pay down debt. Reducing debt would be particularly valuable for those with reduced working capital who will have to increase their borrowing needs next spring.”
Read Dr. Davis’s full insights here.
The WASDE report is released monthly and provides annual forecasts for supply and use of U.S. and world wheat, rice, coarse grains, oilseeds and cotton. For more information about the report process and data, visit the USDA’s publications page.
About Indiana Farm Bureau: For more than 100 years, Indiana Farm Bureau (INFB) has protected and enhanced the future of agriculture and our communities. As the state’s largest general farm organization, INFB works diligently to cultivate a thriving agricultural ecosystem to strengthen the viability of Indiana agriculture. Learn more at INFB.org.