October 31, 2006

 

US crop progress: corn, soy harvest near expectations

 

 

The US Department of Agriculture reported Monday (Oct 30) afternoon that the harvest of the US corn crop was near expectations while the harvest of the soybean crop was in line with most expectations.

 

 

Corn

 

Sixty-eight percent of the US corn crop has been harvested as of Oct. 29, slightly below the 69 percent-73 percent expected by analysts and lower than the 78 percent cut in 2005 and the five-year average of 71 percent.

 

In Iowa, the no. 1 US corn-producing state, 67 percent of the crop was harvested compared to 77 percent last year, while in Nebraska, 54 percent of the crop was harvested, compared to the 76 percent last year and the five-year average of 66 percent.

 

Although harvest progress was slightly below expectations, it looks like this week should be wide-open for harvesting with a lot of catch-up activity, said Don Roose, president of US Commodities in West Des Moines, Iowa.

 

The eastern corn belt harvest continues to run slow due to the weather in Ohio and Indiana, with combining lagging at 34 percent and 49 percent cut, respectively, he noted.

 

The harvest made up 15 percent in one week, and with a wide-open window to harvest this week, the harvest will be back on track by next week, said Mike Zuzolo, chief analyst with Risk Management Commodities in Lafayette, Indiana.

 

 

Soybeans

 

Eighty-three percent of the US crop was reported harvested, compared to 91 percent last year and the five-year average of 85 percent.

 

Analysts expected the harvest between 80 percent and 85 percent complete.

 

The report was slightly negative for the market, said Risk Management's Zuzolo. The key states of the east made great progress; Indiana's harvest was up 13 percentage points from last week, and Ohio was up 15 percentage points from the previous week.

 

In key state Iowa, 94 percent percent of the crop was harvested compared to 99 percent percent in 2005 and the five-year average of 96 percent.

 

In Illinois, 88 percent of the crop was harvested compared to 96 percent last year and the five-year average of 90 percent.

 

The western US Midwest has the soybean harvest pretty well wrapped up, Roose said.