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Temperature Increase of 5 to 10 Degrees Means... - 20 May 2014

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Tuesday 20th May 2014.
Sarah Mikesell - TheCropSite Senior Editor

Sarah Mikesell
Senior Editor



Temperature Increase of 5 to 10 Degrees Means... 

Greetings! July corn futures dropped 24 cents last week on improved planting progress, USDA projections for global stocks to increase, and long liquidation by the funds.

In news… University of Georgia climate specialist Pam Knox said the changing climate is affecting trends in weather across the US.

“There are more than 80 models and they all show a predicted temperature increase of 5 - 10°F in the US and the Southeast over the next 100 years,” she said. “Not a single model predicts it’s going to be cooler over the long haul.”

As temperatures rise, farmers will have to adjust to longer growing seasons, more diseases and pests and to an increase in extreme weather conditions. It will also increase evaporation and reduce soil moisture.

The long-term trend has been for temperatures to go down, but since the 1960s, temperatures have been warming, consistent with patterns in other parts of the US and the world, said Knox.

“Longer dry spells and warmer temperatures will cause plants to wilt quicker, increase the odds for a drought and reduce the average stream flow,” Knox said.

On Monday, US Agriculture Secretary Tom Vilsack reported progress on trade issues with Mexico following the Global Forum on Agro Food Expectations panel discussion with Mexico's Secretary of Agriculture Enrique Martínez y Martínez in Mexico City. Vilsack's remarks come as Mexico's expanded import ruling to allow increased potato imports from the US goes into effect.

Mexico also announced it would expand American beef imports as well. A full range of US beef and beef products can now be exported to Mexico, potentially increasing US beef and beef product exports by $50 million.

US exports of agricultural products to Mexico totaled $18.1 billion in 2013, making it the 3rd largest US ag export market. Leading categories include: corn ($1.8 billion), soybeans ($1.5 billion), dairy products ($1.4 billion), pork and pork products ($1.2 billion), and poultry meat (excluding eggs) ($1.2 billion).

Mexico's exports of agricultural products to the US totaled $17.7 billion in 2013. Leading categories include: fresh vegetables ($4.6 billion), fresh fruit (excluding bananas) ($3.1 billion), wine and beer ($1.9 billion), and snack foods (including chocolate) ($1.5 billion).

Monday’s USDA’s Crop Progress report shows the top 18 corn-growing states are now 73 per cent planted, climbing 14 percentage points from last week. The three “I” states – Iowa (84 per cent), Indiana (72 Per cent) and Illinois (84 per cent) – each made significant progress.

In closing, I read on Twitter today that 98% of Canadian farms are family owned and operated.

USDA reports that 96% of the 2.2 million farms in the US are family owned and operated.

Find me on Twitter @SarahMikesell

Have a great week!


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