Monster Crops
Corn, cotton and soybean yields are likely to hit record levels in 2020, according to USDA’s Crop Production Report, released on August 12. For the 2020 crop year, USDA estimates U.S. corn yield to be 181.8 bushels per acre, surpassing the previous record-setting estimate of 178.5 bushels per acre earlier this year. USDA has 2020 soybean yield estimates rising to 53.3 bushels per acre, up from 49.8 bushels per acre estimated earlier this year and surpassing the record yield of 52 bushels per acre set in 2016. USDA estimates 2020 cotton yields to reach 938 pounds per acre, up from 823 pounds per acre in 2019, surpassing the historic record of 904.7 pounds per acre. Prior to the report’s release, analysts pegged the average corn yield at 180.4 bushels per acre and the average soybean yield at 51.3 bushels per acre. Ahead of the report, cotton analysts estimated cotton production would decline to 17.19 million 480-pound bales.
With the record 181.8 bushels per acre, USDA estimates corn production to rise to a record 15.2 billion bushels, 12% higher than 2019. The August World Agricultural Supply and Demand Estimates (WASDE) report revealed a 20-million-bushel uptick in 2019/20 corn exports, which decreases 2020 beginning stocks accordingly. With corn imports remaining at 25 million bushels, the newest yield update moves 2020 corn supply estimates above 17.5 billion bushels, the largest supply of corn on record. With the adjustments made to supply and demand, USDA lowered the estimated average farm price to $3.10 per bushel, from $3.35 per bushel in July.
For non-irrigated corn, Illinois is estimated to produce yields of 207 bushels per acre, an increase of 14% compared to 2019. Iowa follows with an estimated 203 bushels per acre, up 2% from 2019. Minnesota is estimated to have the third-highest non-irrigated corn yield with 197 bushels per acre, up 14% from 2019. Washington leads irrigated corn yields with an estimated 240 bushels per acre, an increase of 1% compared to 2019. Idaho is just behind with an estimated 203 bushels per acre of corn, down 1% from 2019.
