US - US agricultural supply, use and price projections, published as part of an early release of the tables for the USDA’s Agricultural Projections to 2024, suggest that crop areas for the main US cereal and oilseed crops are set to decline next year.
While the projections still represent big crop areas, the overall planted area is set to decline by 1.5Mha, with the biggest decline seen for maize.
The 2015/16 maize area is expected to reduce by 3.2 per cent year-on-year, with declines of 1.4 per cent and 0.2 per cent for wheat and soybeans respectively.
While the assumptions behind the new projections will not be fully explained until the release of the full report on 11 February, the results look to follow reductions in the farm price for the three crops.
At the same time, net returns are also expected to decline during the period.
These results echo the early projections for the UK in the Early Bird Survey, which also suggests reductions for wheat and oilseed rape next year.
The USDA will release the results of their winter wheat planted area survey on 12 January.
TheCropSite News Desk