April 28, 2009

 

US corn plantings jumped last week, with the western Corn Belt moving along at a strong clip compared to the eastern belt amid a larger window of opportunity for seedings in the region, the US Department of Agriculture said Monday (April 27).

The US winter wheat crop saw modest overall increases in crop conditions last week, while spring wheat plantings continued the slow start to the season, USDA reported. Soy plantings are underway, but the major crop areas of the Midwest are only showing light progress.

Corn seedings made solid strides last week, but continue to lag the average pace, with the USDA estimating 22 percent of the crop was planted as of Sunday, up from 5 percent last week. The five-year average for this point in the season is 28 percent. Last year, farmers had planted 9 percent of the crop.

The trade had expected planting progress to be between 15 percent and 20 percent.

Consistent with reports of a wider planting window in the western Midwest last week, seedings in Iowa showed more progress, with 47 percent of the crop planted, above the five-year average of 25 percent. Iowa had planted 3 percent of its intended corn acres last year at this time.

"You have to be impressed with the corn plantings," said Prudential-Bache grains analyst Shawn McCambridge. Iowa farmers seeded 41 percent of the crop in one week, showing one can never underestimate their ability once they have a window of opportunity to get in the fields, he added.

Planting in Indiana was reported at 2 percent as of Sunday, where on average 25 percent of the crop has been planted by this point, and is only 4 percent complete in Illinois, compared to that state's average of 43 percent.

Next week's report will be important to see if the planting pace catches up with the five-year average, with southern areas poised to increase seedings as they miss storms currently moving through the Midwest, McCambridge said.

"The market will have to take a week-to-week approach to seedings, amid the wide disparity of field conditions across the Corn Belt," he said.

 

The USDA rated 45 percent of the winter wheat crop as good to excellent, up from 43 percent last week. USDA estimated that 27 percent of the crop was rated poor or very poor, unchanged from the prior week.

The USDA showed that 21 percent of the winter wheat crop nationally was headed, up from 14 percent last week and 14 percent at the same time last year. The five-year average is 23 percent.

The trade had expected planting progress to be between 17 percent and 22 percent.

Spring wheat seedings continue to reflect the struggles farmers are dealing with trying to plant the 2009 crop, analysts said.

North Dakota seedings at 1 percent lag well behind the average pace, according to the USDA. The average for this time of year is 26 percen planted, and the state had planted 28 percent last year.

"The pace of North Dakota seedings is a definite concern, and this should continue to support Minneapolis wheat futures," McCambridge said.

South Dakota plantings jumped to 35 percent, up from 11 percent last week, the USDA said. However, the crop is still well behind the average of 69 percent planted.

   
The USDA said 3 percent of the soy crop was planted as of Sunday, below the five-year average of 5 percent. Last year, the crop was 2 percent planted.

The major producing states of the Midwest, aside from Iowa's 2 percent planted, showed no planting progress as of Sunday.

The trade has expected planting progress to be between 1 percent and 3 percent.