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Lower corn production, ending stocks expected in USDA report

A University of Missouri ag economist is expecting tightening corn production and stocks projections from USDA in its global ag supply and demand report tomorrow.

Ben Brown with the Food and Agricultural Policy Research Institute tells Brownfield it might be a bit early for a ‘big’ revision to Argentina’s expected corn production because of ongoing drought…

“But for Brazil, I do expect to see a small revision down somewhere is the neighborhood of 115 million metric tons,” he said. “Which is 1 million less than the 116 million that they had last month.”

Brown said traders are expecting strong global demand to pull down ending stocks heading into next marketing year.

“We look at corn stocks, ending stocks, about 60 [to] 70 million bushels less than ending stocks this year, so not building corn stocks” Brown said. “Soybeans stocks see a little bit of a rebuilding period, maybe on some softer export demand into the Chinese market.”

The report is out at noon Eastern/ 11 Central Thursday.

Brown made his comments on this week’s Brownfield Weekly Commodity Market Update.