USDA under secretary for Rural Development, Dallas Tonsager announced today that America’s ag co-ops experienced a record year in 2011.

“In 2011, net income before taxes for all agricultural co-ops was a record $5.4 billion, eclipsing the previous high of $4.9 billion, set in 2008,” said Tonsager. “Net income was up more than 25 percent, or about $1 billion, from 2010.”

In addition to the sales and income figures, USDA also released their annual list of the nation’s 100 largest agricultural cooperatives. Topping the list once again as the nation’s largest ag co-op is CHS, Inc. out of St. Paul, with $36.9 billion in revenue. It was followed by Dairy Farmers of America, with $12.9 billion in revenue.

Iowa has 14 of the top 100 ag co-ops, the most of any state, followed by Minnesota with 13, Nebraska with 10, California with 6 and Wisconsin 5.

http://brownfieldagnews.com/2012/10/02/ag-co-ops-have-record-year/

USDA reports 2012 U.S. wheat production was 2.269 billion bushels, up 13% from the 2011 total of 1.999 billion and matching the pre-report average of analysts’ estimates.

The average yield was 46.3 bushels per acre, compared to 43.7 last year. Planted area was 55.736 million acres, up 1.327 million on the year, and harvested area was 48.991 million acres, an increase of 3.286 million from a year ago. 2012 abandonment was 6.745 million acres, down from 2011′s 8.704 million.

The winter wheat crop was 1.645 billion bushels, 10% more than last year, with the average yield at 47.2 bushels per acre, up a full bushel from 2011. Winter wheat planted area was 41.324 million bushels, 678,000 above last year, with harvested area of 34.834 million acres, an increase of 2.52 million acres. Abandonment was 6.49 million acres, compared to 2011′s 8.332 million acres. By type, hard red winter was 1.004 billion bushels, 224 million more than a year ago, soft red winter was 419.8 million bushels, 38 million bushels less, and white winter was 221.55 million bushels, down 34.5 million bushels on the year.

Spring wheat production was 541.959 million bushels, 19% larger than 2011, with an average yield of 45 bushels per acre, compared to 37.7 a year ago. Planted acreage was 12.289 million acres, down 105,000 from last year, and harvested area was 12.055 million acres, 24,000 less than a year ago. Spring wheat abandonment was 234,000 acres, compared to 315,000 in 2011. By type, hard red spring wheat was 504.520 million bushels, an increase of 106.8 million on the year, with white spring wheat at 37.4 million bushels, a decrease of 20 million bushels.

Durum production was 81.956 million bushels, up 62% from 2011, with the average yield at 39 bushels per acre, up a half bushel on the year. Planted area for durum was 2.123 million acres, 754,000 more than a year ago, with harvested area at 2.102 million, 790,000 larger than last year. Abandonment was 21,000 acres, compared to 57,000 in 2011.

U.S. oat production was 64.024 million bushels, compared to 53.649 million in 2011, with an average yield of 61.3 bushels per acre, compared to 57.1 a year ago. Planted area was 2.76 million acres, 264,000 above last year, and harvested area was 1.045 million, up 106,000 on the year. Abandonment was 1.715 million acres, compared to 1.557 million in 2011.

By John Perkins, to read more visit:

http://brownfieldagnews.com/2012/09/28/2012-wheat-production-up-13-from-2011/#more-82484

Corn harvest continues at a speed now 3 times the normal clip after a week that saw U.S. soybean harvest progress more than double, according to Monday’s USDA-NASS Crop Progress report.

More than 1/3 of the nation’s corn is in the bin; as of Sunday, 39% is harvested nationwide, with several states — including Illinois — surging past the halfway point. Other key states like Iowa, Nebraska, Minnesota and Missouri saw double-digit harvest gains in the last week, while farmers in states like Indiana and Ohio remain on a slower track, with those states at 26% and 8% finished with corn harvest, respectively.

A week ago, 10% of the U.S. soybean crop was out of the field. Now, that’s ballooned to 22%, according to Monday’s report, with farmers in Iowa almost 1/4 of the way through harvest.

Crop yields remain all over the board in reports from around the nation’s center; there has literally been a 300-bushel difference in yield potential per acre in parts of the Corn Belt. “I’m in Nebraska and yields where water was applied should be better than average, around 225 to 250 bushels/acre.

Dryland is about 0 to 50 bushels/acre,” says Agriculture.com Marketing Talk visitor anthonykreifels. “Zero to 300 [bushels/acre] is the yield variation from 1 end of the field to the other.”

Moving forward, harvest will likely continue at its swift pace, now accelerated by weekend temperatures that dipped below the freezing mark in parts of the Corn Belt, according to Freese-Notis Weather, Inc., ag meteorologist Craig Solberg.

“It is believed that this freeze had no impact on final production numbers for corn and soybeans, despite the fact that such temperatures occurred close to a week earlier than normal for a number of areas (and were cold enough for a few record lows to be scored),” he says. “Many believe that it will actually be helpful for harvesting, as it will kill weeds and force corn and soybean crops to mature and drydown faster.”

But moisture-wise, the outlook’s a little more 2-sided. Some areas will see greater chances of rainfall over the next few days, says MDA EarthSat Weather senior ag meteorologist Don Keeney.

“Rains are expected to build into the central and southern Midwest by Tuesday, and continue there through the end of the week. The persistent rains this week will stall corn and soybean harvesting but will improve moisture for winter wheat establishment,” Keeney says. “The drier pattern in the northern Midwest this week will favor corn and soybean harvesting.”

By: Jeff Caldwell, Multimedia Editor for Agriculture.com and Successful Farming magazine

http://www.agriculture.com/news/crops/harvest-chugs-ahead-usda_2-ar26524

Distillers grain prices reached record high prices this summer due to both supply and demand factors that have largely resulted from the drought, says Darrell Mark, adjunct professor of economics at South Dakota State University during a recent iGrow Radio Network interview.

“The widespread drought has significantly lowered corn production for 2012, which has driven corn prices to record high levels,” Mark said. “As an input to ethanol production, these high corn prices have generated deeply negative margins for ethanol plants and have caused many to reduce production or shut down altogether. This reduced ethanol production correspondingly lowers distillers grain production because ethanol fuel and distillers grains are produced in fixed proportions. Thus, supply of ethanol coproduct feeds has declined this summer.”

He adds that on the demand side, livestock producers have bid up prices for distillers grains as they try to substitute it for drought-scorched pastures, record high hay and corn prices and limited availability of most feedstuffs.

“Interestingly, the slight pullback in South Dakota distillers grain prices in the last three weeks is likely due to the availability of silage that was cut in large quantities due to the drought,” he said.

Mark says the outlook for distillers grain prices going ahead will be highly dependent on the corn market.

“That, of course, is quite uncertain and highly volatile and will remain so until final yield estimates are available,” he said. “Some early yield estimates across the Corn Belt have sounded disappointing, but some have been better than expected too.”

USDA’s September crop production report only reduced national yield by 0.6 bushels per acre from its previous forecast.

“This was seen as somewhat bearish to the market,” said Mark, “but it might be the type of weakness to use to price two or three months of feed needs. Then see what harvest yields are before making more purchases.”

Mark points out that even at current price levels, there is some demand destruction occurring, which increases the potential for lower prices. It would take additional large reductions in corn production to spur the market much higher, he adds.

“Any decision to contract distillers grains now, at near record prices would be done with the belief that prices could move still higher,” he said. “While that could certainly happen, usually there is more downside possibility when prices of a commodity are at near record high prices. Still, if current prices offer an acceptable feeding margin, locking in distillers grain prices could be prudent risk management for some producers.”

By: University News Release

South Dakota State University

http://www.agweb.com/article/distillers_grain_prices_ease_off_record_highs/

For more information on this topic and to hear the iGrow Radio Network interview with Mark, visit iGrow.org.