USDA slashes US corn outlook 12% as drought slams crop yields
In Washington, the US Department of Agriculture slashed corn production forecasts by 20 bushels per acre, or 12%, reflecting the rapid decline in crop conditions since early June and the latest weather data.
“Persistent and extreme June dryness across the central and eastern Corn Belt and extreme late June and early July heat from the central Plains to the Ohio River Valley have substantially lowered yield prospects across most of the major growing regions,” the USDA said in its monthly WASDE report,
The USDA added that “Ending stocks for 2012/13 are projected at 1.2 billion bushels, down 698 million from last month’s projection.” The USDA also projected an explosion in corn prices, with expected per bushel prices expected to range between $5.40 to $6.40 per bushel, up sharply from $4.20 to $5.00 per bushel in last month’s report.
Category: Fuels
