September 25, 2007

 

US Crop Progress Wrap: Corn, Soy harvest above yearago levels

 

 

Harvesting of the US corn and soybean crops was above the level of 2006, with both crops maturing rapidly, the US Department of Agriculture (USDA) reported Monday (September 24).

 

Winter wheat planting remains behind the level of last year, according to the government.

 

The USDA reported that 22 percent of the crop was reported harvested, above the 12 percent combined last year and the five-year average of 14 percen.

 

Analysts had expected the harvest at 25 to 30 percent complete.

 

The crop was rated as 80 percent mature, above the 72 percent in 2006 and the five-year average of 65 percent.

 

"The corn harvest pace remains well above average, but there is just so much extra corn this year, it will take additional time to harvest it all," said John Kleist, of Kleist Ag Consulting.

 

In Illinois, 46 percent of the crop was harvested, compared to 13 percent last year and the five-year average of 16 percent.

 

In Iowa, 7 percent of the crop was combined, up from the 4 percent reported in 2006 and the five-year average of 5 percent. Minnesota reported that 9 percent of the crop was harvested, above the 2 percent average.

 

In both Iowa and Minnesota, "there has not been a lot of corn harvested and that could result in basis pressure in the western corn belt as harvest activity begins to increase," said Brian Hoops, president of Midwest Market Solutions in Yankton, S.D.

 

The USDA rated 63 percent of the corn crop in good-to-excellent condition, unchanged from last week.

 

In Iowa, 72 percent of the crop was rated in good-to-excellent condition, unchanged from last week. Illinois had 78 percent of its crop rated in good-to-excellent condition, also unchanged from last week's s ratings.

 

The crop ratings at this stage of the year don't have much impact, Kleist said.

 

The USDA reported that 12 percent of the US crop was harvested as of September 23, above the average of 11 percent and at the upper end of analysts' expectations of 8 to 12 percent.

 

The crop is maturing rapidly with 76 percent dropping leaves, above the average of 68 percent.

 

In Illinois, 22 percent of the crop has been harvested, compared to 4 percent last year and the 10 percent average. In Iowa, 11 percent of the crop has been combined, slightly above the average of 10 percent.

 

The harvest is in line with the average and with so much corn around, the soybean harvest will likely lag the average for the time being as producers concentrate on the corn, said Kleist.

 

The USDA reported that 58 percent of the crop was in good-to-excellent condition, two percentage points above last week.

 

In Illinois, 55 percent of the crop was in good-to-excellent condition, unchanged from last week. In Iowa, 74 percent of the crop was in good-to-excellent condition, also unchanged from the previous week.

 

The Midwestern states, where the bulk of the crop is produced, continue to report above-average conditions, said Kleist.

 

The USDA reported that 27 percent of the winter wheat crop was planted, below the 32 percent seeded in 2006 as well as the five-year average of 35 percent.

 

In Kansas, the largest US wheat producing state, 17 percent of the wheat has been planted as of September 23, compared to the average of 26 percent.

 

Wheat planting remains below average with Kansas behind its normal pace, while Nebraska has seeded a lot of wheat, which is a little surprising, said Hoops.

 

In Nebraska, 59 percent of the crop has been planted, above the 53 percent planted in 2006 but below the average of 62 percent.

 

It appears that there will be more acres planted to wheat this fall so planting progress will be below the average, Hoops said.

 

Just 25 percent of the crop has been planted in Oklahoma, compared to the average of 38 percent.

 

The government reported that 6 percent of the crop has emerged, below the 8 percent in 2006 and the average of 11 percent. In South Dakota, 19 percent of the crop has emerged, up from the average of 13 percent. In Kansas, 3 percent of the crop has emerged compared to the average of 7 percent.

 

The southwestern US received excessive rains late in the summer and the delay in plantings reflects the need for producers to get the ground in shape to plant the wheat, "but planting can catch up quick," said Kleist.