Oklahoma Farm Report masthead graphic with wheat on the left and cattle on the right.
Howdy Neighbors!
Ron Hays, Director of Farm and Ranch Programming, Radio Oklahoma Ag Network  |  2401 Exchange Ave, Suite F, Oklahoma City, Ok 73108  |  (405) 601-9211


Agricultural News

From 2015 AFBF Meeting- Crop Outlook Sees Lower Corn Prices with Shrinking Demand From Biofuels

Mon, 12 Jan 2015 21:44:11 CST

From 2015 AFBF Meeting- Crop Outlook Sees Lower Corn Prices with Shrinking Demand From Biofuels The crop demand outlook for the 2014/15 marketing year is a mixed bag, according to Patrick Westhoff, director of the Food and Agricultural Policy Research Institute.
Westhoff gave attendees of the American Farm Bureau Federation's 96th Annual Convention and IDEAg Trade Show a glimpse into how this year's bumper crop and low prices will impact farmers and ranchers as they head into 2015. You can hear his full presentation from the San Diego meeting by clicking on the LISTEN BAR below.
On a macro level, China will continue to be a significant source of demand growth, but Westhoff noted that the anticipated gross domestic product increase of the world's most populous country is waning.
"China of course is a huge source of demand growth," said Westhoff. "The good news is it's growth, but the bad news is it's not as fast as it has been. They're looking at 6.5 percent growth next year."
One area representing more promise for corn and soybeans is feed demand from both the domestic and international livestock sectors.
"We're going to have a lot more animals out there and more need for feed," he said.
On the other hand, the biofuels sector is expected stagnate, and may perhaps be even weaker.
"We'll have significantly smaller corn yields in 2015/16 caused in part by the low demand for ethanol. Yield numbers will change."
Due to corn prices dropping to levels not seen in years, Westhoff said that farmers will plant less corn in the next two years. More than 90 million acres were planted in 2014 and he projected that only 87.9 million acres will be planted in 2015 and 89.7 million acres in 2016.
Planted acres for other commodities such as wheat, cotton, rice and barley are projected to be about the same for 2015 and 2016, while sorghum planted acres are expected to drop slightly and soybeans will see about a 7.5-million-acre increase in the next two years.
Westhoff said large corn and soybean crops will weigh on grain and oilseed prices in the short run, and that although average corn prices remain low by 2007-2012 standards, they are still above pre-2007 levels.
In closing Westhoff remarked, "As always, weather, oil prices and other factors will drive annual swings in prices."


Patrick Westhoff of FAPRI offers Crop Outlook at 2015 AFBF Annual Meeting in San Diego
right-click to download mp3


WebReadyTM Powered by WireReady® NSI


Top Agricultural News

  • Oklahoma Youth Expo Sale of Champions Sale Order Available Here- Sale Set for 4 PM Friday  Fri, 17 Mar 2023 04:50:54 CDT
  • Rural Voters Dominated Vote to Defeat Recreational Marijuana March 7th  Fri, 10 Mar 2023 07:13:05 CST
  • Ron Hays Talks to Israeli Ag Tour Guide Colin Lotzof About the Miraclel of Ag in Israel  Wed, 22 Feb 2023 22:11:04 CST
  • OALP Members Experience First Hand View of Cutting Edge Drip Irrigation Technology as Israel Travel Ends  Wed, 22 Feb 2023 10:51:49 CST
  • OALP Members Get First Hand View of Cutting Edge Drip Irrigation Technology as Israel Travel Ends  Wed, 22 Feb 2023 10:50:10 CST
  • Oklahoma Ag Leadership Program Sees Fruit, Beef and Dairy Production North of the Sea of Galilee in Israel  Mon, 20 Feb 2023 21:56:02 CST
  • Oklahoma Ag Leadership Program Sees Diverse Farm Operations in Jordan River Valley of Israel  Sun, 19 Feb 2023 21:17:30 CST
  • Israeli Tour Guide Mark Kedem Talks About The Cultural Aspects of What Class XX of OALP is Experiencing   Sat, 18 Feb 2023 22:17:23 CST

  • More Headlines...


    Ron salutes our daily email sponsors!

    Oklahoma Beef council Oklahoma Ag Credit Oklahoma Farm Bureau National Livestock Credit Ag Mediation Program P&K Equipment Oklahoma City Farm Show Union Mutual Stillwater Milling Oklahoma Cattlemen's Association KIS FUTURES, INC.

    Search OklahomaFarmReport.com

    © 2008-2024 Oklahoma Farm Report
    Email Ron   |   Newsletter Signup   |    Current Spots   |    Program Links

    WebReady powered by WireReady® Inc.