Georga Farm Monitor Report:Production predictions 2009

SCRich · #1 04/16/08, 07:48 PM

Sitting here watching the Georga Farm Monitor Report, if you have never seen it think of a "Wall Street Report" for farmers.

One guy says 6% drop in Corn production next year and 13.8% drop in Cotton. Then he says Soybean is going up 13.8% in planting and wheat is going up something like 8%, I missed that.

Next anchor comes in with a straight face and states that the cost of corn will continue to rise and that will result in higher costs on most everything since it's used in almost everything from flour, syrup for sweetners and soda, and feed for meat production. Gee... ya' think?

Even this was the GEORGA farm monitor this was the segment where they are talking about the nation. It's a bit dry and sometimes boring but if you can get beyond that it's information. I'm typing but they are at the GA Cattlemen's association meeting and all I heard while typing was some of their members speaking about it's going to be almost impossible for some families to have meat at some of their meals. They are talking about the costs and animal rights people hassling them. I find it real interesting that these people are providing the information that they are but mainstream media is clueless or just chosing not to report it.

spiffydave · #2 04/16/08, 08:08 PM

I remember hearing (on CNBC, I think) that corn production is dropping because of standard crop rotation to soybeans and other crops.

Is that correct?

All things being equal, you'd think corn production would go up otherwise.

SCRich · #3 04/16/08, 08:27 PM

I thought for sure Corn would be going up due to bi-fuels. Farmers have made crud for years now is a chance for them to catch up and make up for slow times but maybe not. Bi-Fuels are using a lot of different things now but I expected other items to drop so that other fuel producing crops could be grown but never expected corn to drop.

So corn goes up in price because of either a) Bi-Fuels b) decrease in production, you can't win! This time last year I was buying sweet corn for the deer at $3.98 for 50lbs, by August I belive it was $7 and last I checked the gun shop had it at $8 a bag. That $8 bag had a tag on it from a feed store on the other side of the county and I travel by it all the time. Stopped by there and they wanted $9 a bag for the same thing! Guess cutting out the middleman don't work no more?

Guess those $5 tacos are coming right around the corner.

uyk7 · #4 04/16/08, 08:46 PM

Quote:

Farmers have made crud for years now is a chance for them to catch up and make up for slow times but maybe not.

From what I have read the farmers may be getting more for their crops but they then have to pay more for seed, fertilizer, etc... and therefore are not making anything more than usual.

.

Freeholder · #5 04/16/08, 09:12 PM

Quote:

Originally Posted by uyk7

From what I have read the farmers may be getting more for their crops but they then have to pay more for seed, fertilizer, etc... and therefore are not making anything more than usual.

.

This is about right, and when you add in the higher (and higher, and higher, and higher!) prices of fuel, it's going to hurt the farmers really bad -- and the middle men, and the end consumers, due to all the transportation from one place to another.

Gas here is $3.51 today at the cheapest station, up four cents since I got gas yesterday. It's likely to be four dollars a gallon by summer. And diesel is higher.

Kathleen

Murray in ME · #6 04/16/08, 11:58 PM

Quote:

Originally Posted by spiffydave

I remember hearing (on CNBC, I think) that corn production is dropping because of standard crop rotation to soybeans and other crops.

Is that correct?

All things being equal, you'd think corn production would go up otherwise.

Rotations are part of why corn acreage is predicted to drop. Another reason is that corn, especially conventionally raised, has much higher input costs than soybeans or wheat. With the recent high prices for soy and wheat, combined with the lower input costs, they can sometimes be more profitable for the farmer.

Txsteader · #7 04/17/08, 06:53 AM

I've lived here for 30 years & the fields around me have been planted with rice for decades. It looks like this year, the farmers are planting soybeans. Hundreds of acres of soybeans. Not a kernal of corn or a grain of rice to be found.

unregistered29228 · #8 04/17/08, 07:33 AM

Most of our surrounding farms are growing wheat this year....I haven't noticed any corn at all yet.

It would be nice if food manufacturers quit using high fructose corn syrup in EVERYTHING.

Jay · #9 04/17/08, 08:02 AM

They had the same info on "this week in Agribusiness" show.
Here in the midwest there is more soy and wheat being planted.
No mention of milo, sunflower or any other crops, either.

Maybe those who are planting 'oddball' (i.e.--not the norm) crops might be the ones smiling all the way to the bank this fall.....

DoubleD · #10 04/17/08, 08:33 AM

Corn is a high demand crop - heavy fertilizer needs. Fertilizer is very expensive of late and China recently announced they will be increasing their export taxes and tariffs - in some cases doubled - for urea and ammonium phosphate fertilizers.

I imagine that the margins for corn are quite low (despite higher prices) due to the fertilizer and heavy water demands of the crop - as compared to soybeans which is a legume and fixes nitrogen naturally (low fertilizer demand).