Allendale survey shows higher corn acreage
By John Perkins, Brownfield
March 13, 2019
A major acreage survey of producers in 29 states suggests a year to year increase in planted area for corn against a decrease for soybeans.
While the survey has changes in the acreage mix, Allendale Chief Strategist Rich Nelson says the data implies most producers are sticking with their normal rotation and those that are making changes are doing so because of unknowns, “In terms of all of these crops, they have concerns about margins, especially for 2019 production. The simple is, for the corn side, we haven’t yet had December corn really move to a price most producers would suggest is profitable.”
Nelson says another unknown is the trade situation with China, “The other big thing with the unknown is maybe a small amount of concern with the trade discussions going on, which, hopefully, we’ll get some progress by the end of this month and the soybean side is really the main concern right now.”
The start of planting could be delayed by wet, cool weather in many key U.S. growing areas.
Producers want to plant, according to Nelson, even if it takes until the first week of June but prevent plant acres could be a lot larger this year than last year, “Our soil moisture profile is similar to 2009, ’10, and ’11, so in this case, we probably will a movement from last year’s prevented plant of just under 2 million acres. I do think you’re looking at something in the 4 (million) to 7 million acre range.”
Nelson says that while prevent plant discussions usually start in the northern Plains, this year, high soil moisture levels from Ohio to the Western Corn Belt are expected to be a factor.
Allendale’s annual survey of producers has corn acres at 91.475 million, up...