5-24 IAN Price Challenge

 Frankly I don’t know how you guys do it. And I’m talking directly to you guys who are agricultural producers.  What do I plant, how do I predict? As farmers looked last fall and winter into what to plant, there was a lot of advice for potato growers to plant corn because corn was selling so well and  the picture for contracted potatoes wasn’t so pretty.  Here’s Dr. Garth Taylor, U of I  agricultural economist. “You are going to have to try and grow corn or something else In that rotation.”

Commodities broker, Clark Johnston now gives us the corn picture. “ The USDA anticipating that we are going to have carryovers  about 800,000,000 bushels  but stocks are still extremely tight on that. So having said that  in a nutshell that is where we are.  The nearby corn is going to be expensive but once  we get to new crop prices will drop off dramatically.a  So somebody who decided against  potatoes and planted corn? Well if they did that, and one of the things in the Midwest  quite a few of those growers will do, when they plant they will go in and forward contract their corn or they will sell futures against it so if the price comes down they have hedged themselves so there is a fair amount of bushels that gets hedged up ahead of time but if someone just planted corn to plant corn and have sold any of that yet, they will be looking at cheaper prices for sure this next year.”