Rains cut Iowa's soy crop by 10%

Rainfall of more than 10 inches last weekend in northwest Iowa has taken out at least 10% of the soy crop and left farmers wondering how much of their nitrogen fertiliser is still left in the soil.

Farmers who lose soy now face a dilemma, said Iowa State University Extension crop specialist Paul Kassel of Spencer.

Kassel said that beans replanted now would be looking at a 60-70% yield loss because of the shorter growing season, adding that some flooding conditions in northwest Iowa is as bad or worse than 1993.

Meanwhile, concerns about the quality of the current crop after the rains helped drive up the November contract for soy by 6.4 cents per bushel to US$9.18 Monday (June 28) on the CBOT. December corn futures, by contrast, dipped 7.6 cents per bushel to US$3.52.

While corn has a surplus of 1.5 billion bushels from last year's crop, soy stocks are much tighter, at less than 190 million bushels.

The USDA, in its weekly crop condition report, said heavy rains over the weekend contributed to more flooding and ponding. This surplus of water is causing crop condition and growth to vary dramatically. Some fields have areas completely drowned out by standing water and sections turning yellow with stunted growth, the report noted.

The USDA rated Iowa's corn crop, which benefited from good early planting conditions in April, at 72% good to excellent. But the later-planted soy crop saw its good-to-excellent rating drop to 66%.

Besides damage to planted crops, farmers worry that heavy rains can cause the nitrogen needed to fertilise corn to sink below the root line, or "leach," when the soil becomes waterlogged.