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TheCropSite Newsletter - 8 May 2012

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The Crop Site

Tuesday 8th May 2012.

Sarah Mikesell - TheCropSite Senior Editor

Sarah Mikesell
Senior Editor

Editorial: Welcome to TheCropSite Newsletter

Greetings from the soggy Midwest! Severe storms moved across the US over the weekend, providing some much needed precipitation, especially to southern states.

Now for a look at Brazil... Severe weather and crop failures in south Brazil along with increased consumption demand are said to be driving up corn and soybean meal costs by at least 3 to 3.5 per cent.

Informa Economics FNP believes the 2011/2012 planted area for summer corn and soybeans increased by 5.3 per cent year on year but because of the serious drought in south Brazil, production will be down about 8 per cent versus the previous season. The US Department of Agriculture (USDA) has estimated an 11 per cent soybean production decline in the area.

Winter corn areas are expected to increase and might make up the summer production deficit, but it's too early to predict the winter crop.

Soybean exports in marketing year 2011/12 are estimated at 29 mmt, down 14 per cent from the 2010/11 record of 33.8 mmt. Over the last few months, current high prices and a favorable exchange rate have directed Brazilian soybeans to the export market as opposed to the domestic crush market, says the USDA Brazil Gains Report. However, USDA expects the market to turn inward to supply crush in the second semester of 2012.

Add these expectations together with a drought-reduced short crop and you get a reduced Brazilian export share in 2011/12. That said, USDA forecasts a recovery in Brazil's export presence in 2012/13, reaching a new record of 35 mmt based on continued strong global demand.

La Nina has also had a significant impact on the Argentina's harvests in 2011 and 2012. The result: Argentina's international market share slipped the last few years.

Argentina's soybean production is also slipping. In 2009/2010 it was reported at 54.5 million tons, but FNP expects it to only reach 45 million tons in the current season. Corn is following a similar course, falling from 23.3 million tons harvested in 2010 to 20.5 million tons this season. Argentina's corn exports have also seen a dip from 16.5 million tons in 2010 to 13.5 million this year.

Competition between domestic and international markets will be aggressive come mid-September when the US harvest is underway due to the limited global corn and soybean supply.

To read more about Brazil's crop expectatations, click here.

Have a great week!

Selenium Impacts Honey Bee Behavior, Survival
Entomologists at the University of California, Riverside have a "proof of concept" that selenium, a nonmetal chemical element, can disrupt the foraging behavior and survival of honey bees.

US Corn Planting Jumps Despite Rain
The March Prospective Plantings report indicated US farmers were looking to bring a lot of area into corn production. And the pace of planting thus far shows they are well on their way to planting more area to corn than we have seen since the 1930s.

Dealing with Agriculture in a Dry Climate
With much of England officially in drought, we are getting a taste of the challenges we may increasingly face due to climate change.

Use Less Water, Producing Energy, Fertilizer at Same Time
Clean drinking water and basic sanitation are human rights. Yet almost 780 million of the world's population still have no access to drinking water and some 2.6 billion people live without sanitary facilities.

Stanford: America's Clean Energy Policies Need Reality Check
America's approach to clean energy needs to be reformed if it is to meaningfully affect energy security or the environment, according to two new articles by Stanford writers.

   United States

Economist: US Farm Bill Shifts to Risk Management, Reduces Overlap
CME: Corn Market Remains Fluid
CME: Awaiting WASDE Estimates, Critical to Sector
CME: Corn Futures Closed Lower Monday
CME: Corn Futures Closed Lower Tuesday
CME: Corn Futures Closed Lower Wednesday
CME: Corn Futures Closed Higher Thursday
CME: Corn Futures Closed Mixed Friday
Spring Field Crop Insects Update
Reduce Potential Soil Erosion Early in the Spring
Farm Bureau Urges Approval of New Herbicide-Tolerant Corn
Impacts of Limits on Crop Insurance Risk Subsidies
Weekly Roberts Market Report
Sizing Up the Wheat Crop
USDA’s WASDE Report To Incorporate Changes
Boron Deficiency in Alfalfa
Grain Hedge: Early Week Momentum Struck Down by Commodity Sell-off
GeoGrain: Corn-Wheat Spread Favors Corn for 1st Time in 5 Years
Secretary Vilsack Urges Increase of Farm-Produced Renewable Feedstocks
Kansas Wheat Tour: Yield Estimated at 49.1 Bu/A
Yield has Significant Impact on Profitability
Corn Prices in Three Parts

   United Kingdom

Key EU Fish and Farming Talks
Lords Warns of Urgent Need to Plan for Future of Water Resources
Record Farm Output Levels Spur Solid Performance
Scientists Respond to Anti-GM Protesters
Ambitious New Entrants Essential to Farming, Food Security
Obesity Is Complex, Long–Term Problem
BCPC Deplores Proposed Attack on Rothamsted’s GM Wheat Trial
Wheat at High Risk of Septoria Across England, Wales
Research: Increased Sclerotinia Risk for Oilseed Crops
AHDB: Three-Quarters of Farms Affected by Ag Policy 'Greening'


Siquijor gets Agriculture and Fishery Projects


Reducing GHG Emissions in Agriculture


Pakistan Rains Delay Harvest


Harper Government Strengthens Agri Partnership with Israel
FAO: World Cereal Production Increases in 2012
International Rice Prices Continue to Ease
Food Prices Ease But Stay High
315 Million Households to Enter Middle Class by 2020

   Korea, South

Seoul to Limit Fallout of China FTA on Farm Sector


Stored Grain Pests Probed in WA Research
'Double Knocking' Answer to Australian Weed Control

   European Union

Proposal to Authorise GM Soybean Product Examined by Appeal Committee


Volatile Prices Affect Mexico Cotton


Guatemala Sugar Growth Not as Expected


Brazil's Soybean, Corn Feed Prices Headed Higher


Environmental Concerns, Gas Prices Raise Interest in Cellulosic Ethanol
New Market Opportunities for Canadian Oat Farmers


Argentinian Wheat, Barley Exports Up, Rice, Corn Lower

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