This was released by the USDA on 6/29/12. Pardon the tardiness of this report. However, considering the persistence of the “dust bowl” like drought plaguing farmers, I think it is extremely important to remember how leveraged and fucked these farmers are with their “bumper” sized corn crops.
U.S. Farmers Plant the Largest Corn Crop Since 1937
Washington, June 29, 2012 – U.S. farmers planted 96.4 million acres of corn, up 5 percent from last year, making it the highest corn acreage in the last 75 years, according to theAcreage report released today by the U.S. Department of Agriculture’s National Agricultural Statistics Service (NASS). This marks the fourth year in a row of increases in corn acreage in the United States.
Favorable field conditions across much of the major corn-producing region helped corn growers get off to a fast start in 2012. By May 20, the planting was nearly complete, representing the quickest planting pace on record. Virtually all of the acreage had emerged by June 3.
U.S. soybean growers also reported a significant acreage increase this year. According to the report, 76.1 million acres have been planted to soybeans, up 1 percent from 2011. This is the third-largest soybean acreage on record.
Just as with corn, the weather allowed soybean growers to get off to a quick start this year. By June 3, ninety-four percent of this year’s crop was planted, 30 percentage points ahead of last year’s pace. Nearly 80 percent of the crop had also emerged by that time, 40 points ahead of the 2011 pace.
A significant acreage increase was also reported for wheat. The report showed that growers planted 56 million acres for all wheat, including spring, Durum and winter, a 3 percent increase from 2011. More acres were seeded to winter wheat this year due to expectations of better net returns compared with last year.
Unlike the other major crops, cotton growers reported a decrease in acreage this year. According to the report, there are 12.6 million acres planted to cotton, down 14 percent from 2011. Farmers planted 12.4 million acres of Upland cotton, down 14 percent from last year, and 235,000 acres of American Pima variety, 24 percent down from 2011.
NASS also released the quarterly Grain Stocks report today, showing corn stocks down 14 percent from June 2011, soybean stocks up 8 percent and all wheat stocks down 14 percent. With a total disappearance of 2.87 billion bushels between March and May of this year, this is the highest disappearance on record for corn during this quarter. The soybean disappearance of 707 million bushels is also the second largest disappearance on record.
50 Responses to The Essence and Definition of Fucked
Now milk that farmer.
Wouldn’t buying irrigation systems now be like buying a better parachute after your have hit the ground?
If farmers get bailed out, they will be mandated to update infrastructure in order to prevent this from happening again.
They need better ways to manage their water supply.
Thanks Dr. Fly. I am ignorant to agricultural economy but this is my favorite part of investing, learning something new every day.
You will learn what you need to be taught. No go back to your profession of selling OXY under the counter.
Water supply management? For wheat and corn? Think they are going to irrigate all those millions of acres? Is it even remotely possible?
The only water supply management going on is rain dances. And prayers.
Correct and the cart is before the horse, the farmer has to find the water first in order to irrigate.
Recently finished Pollan’s “The Omnivores Dilemma”. He spends time with the corn farmers and explains how screwed they really are. That was before this report.
How could anything go wrong being egregiously overlevered with no contingency plan?
Like that $MOS
These guys really need to be growing hemp instead…
The shit might smoke itself if things keep up.
MOS is a fine fert company but while Phosphate and potash will be primary nutrients needed by farmer Brown, Nitrogen will be his biggest need by far. He will need truckloads of Nitrogen and wheelbarrows of potassium and Phosphate. They will use 4-6 lbs of nitrogen for each 1 lb of potash. See UAN, RNF,& TNH compared to POT and MOS which is odd as POT is one of the largest producers of nitrogen in the world but I guess the co name throws people off. Happy farming!
You fucking Greenwich pussys don’t know jackshit about farming. Stick to what you know.
I”m not from Greenwich but I do plant a few tomato and pepper plants in my yard. I know little about farming but I do know that water is essential.
Am I correct?
More reasons to like $POT http://alturl.com/qtu3h
—CONCUR IN PART—
Farmers intentionally reporting (true) failures.
2011 congressional stimulus repeal has consequences; mainly, farmers saying fuck you, your terms sunsetted son (aka congressboy). Please see $GIS (time for the Blind man to dump, will wait for near $40 – before middle East war this fall) and other ag. input relying industries.
What the farmer giveth, the farmer taketh away.
Never forget, farmers ARE NOT DUMB.
…farmers are smarter than 95 percent of the readership here.
That’s why you all enter into mortgages and slave away to pay the HOBOma and Al Gores of the world in taxes.
Farmers are not ignorant.
In a political year, this is no game.
There is cause and effect, and remember that our farmers can cause middle east revolutions: (e.g. see) Middle East 2011.
For the reasons above, and others omitted, I DISSENT.
The finest GMO money can buy…
I’d like to see some evidence of GMO.
My personal farming (not a farmer, but from farming family) keeps producing great seeds: pumpkins, radishes, lettuce, wheat, corn… the list keeps going.
It’s difficult to understand what the GMO conspiracy is all about. If you don’t get any corn cobs, you don’t got seeds.
Paradox: what am I missing?
GMO’s hurt nobody. There is DNA in everything we eat.
I love a good conspiracy. keep them coming.(no homo)
The shorts will have their cocks ripped from their sockets tomorrow.
Cocks are now being reattached.
…and ripped from sockets once again…
Mr. Beaks has the Orange crop report…
We call it maize.
Mortal Kombat time, Clam vs Nymph and her sidekick the USD.
VIX still red…this is a really hard Clam Battle, so many believers in QE out there.
no, farmers will not be buying irrigation systems. one, they are too cheap, two, a drought happens once every 25 years and three it would drain the aquifer.
water rights are regional. good points though.
why do you think farmers are so leveraged? I live in the corn belt and the majority of the land which has been sold over the past five years has been paid for in cash. This is very different from the 80′s.
Yeah, farmers aren’t financiers, they’re the people keep America alive.
Financiers; well, guillotine a majority in the sector and no dent.
one other thing: almost all farmers have crop insurance, you can insure up to 85% of the average yield.
that our farmers “feed the world” is another crock of shit. I hear that sanctimonious braying all the time. they feed animals and ethanol plants. they couldn’t care less about feeding anyone other than themselves and drooling over half million dollar combines at the JD dealership.
Then I not so respectfully disagree with you.
Until you have a state’s university Dean’s personal phone number in your cell, keep pontificating.
oh my, the Dean’s personal phone number. If that is all you’ve got there need be no further discourse.
I can tell you’re not a bad guy.
I’ll let you have your opinion.
peace be with you
What % of all that ag land is irrigated?
“Farming looks mighty easy when your plow is a pencil and you’re a thousand miles from the corn field.”
Texasradio & Farmer got my attention. Yes, large irrigation systems are already in place like at sod farms. But the largest sod farms I’ve ever seen are not close the the acreage planted for mid-west crops. Without a fact or two besides the water supply, it’s like the lab rats who offer breaking up hurricanes by seeding them with cat litter. WTF
Bad clam….very very bad clam.
Back to refining:
ALJ solid winner on a meek day for other refiners
Never have seen Chuck so specific on VHC (hinting lawsuit settlement). Ususally very circumspect on details.Is this dip a buy? Anyone concerned?
All the ethanol plants should go tits up. It is really silly to burn your food.
Also, if a food crisis hits, your local Walmart may look like this.
If all the farmers are going to go broke, dry up and blow away, how will they come up with the money to buy irrigation systems?