We live in corn country, so this is front page news: Bumper corn crop
Huge corn crop expected this fall? - LaSalle News Tribune - LaSalle, IL
“I’d consider it to be a bumper crop,” said Harry McCune, Bureau County corn/soybean producer. “I think yields will be good even with all the wind damage we had earlier in July. I think it’s going to be a slow harvest, but people will be happy with their yields on the corn side. I think the beans are going to be exceptionally good as well.”
Three years ago, prices were as high or higher than $7.50/bu. Now, for Fall delivery $3.50 bu. and expected to go below $3.00.
Corn is the bigtime commodity in the US...
Today’s corn crop is mainly used for biofuels (roughly 40 percent of U.S. corn is used for ethanol) and as animal feed (roughly 36 percent of U.S. corn, plus distillers grains left over from ethanol production, is fed to cattle, pigs and chickens). Much of the rest is exported. Only a tiny fraction of the national corn crop is directly used for food for Americans, much of that for high-fructose corn syrup.
25% of what you buy in grocery stores contains corn, in some form.
The soybean crop is also expected to be one of, or THE best ever.
While reduced prices in ANYTHING is unusual, it's just possible that we may see lower food prices. If not, this is the time to buy into the businesses that exist between the field, and the table.
We always look forward to harvest season, when, on our way to the lake, we can see for miles, instead of today's 8 foot+ corn stalks.
The corn fields back up to Walmart... the far edge of town, and the fields continue for the next 80 miles to the Wisconsin border. Only when you fly over Indiana, Illinois,Iowa, Nebraska and Kansas, does the enormity of the production of corn and soybeans become so awesome.
The next question will be, how long before the cattle herds that have been so decimated will again increase and make steak cheaper than caviar?