Corn Crop Estimate Lowered 12 Jul 13

The US Department of Agriculture has slightly lowered its estimate of this year’s corn crop, reflecting late planting in the Corn Belt caused by a wet spring. Farmers are now expected to harvest a total of 13.95-billion bushels of corn, 55-million fewer bushels than predicted in June. That still beats the 2009 record by about 858-million bushels. The supply of corn is likely to shrink this summer because of last year’s small, drought-affected harvest of 11-billion bushels and this year’s delayed planting, so prices will likely remain high. That’s good for farmers selling grain, but will increase the cost of corn-based feed for livestock producers. Food prices are not expected to be affected very much by the change.