By Jamie Martin
On January 10, USDA’s National Agricultural Statistics Service (NASS) released six influential reports, including Cotton Ginnings, Crop Production, Grain Stocks, Rice Stocks, and Winter Wheat/Canola Seedings.
These reports fed into the World Agricultural Supply and Demand Estimates (WASDE), offering crucial insights into the state of U.S. agriculture.
Among the most significant findings were the revised forecasts for corn and soybean production, which were lower than previously anticipated.
Additionally, cotton producers received challenging news, as increased production was offset by a reduction in consumption.
The reports also revealed the first data on winter wheat planting acreage for 2025. Here are the key highlights:
Corn and Soybean Yields Drop, Strengthening Market Prices
The major news from the reports was the substantial reduction in the yield forecasts for corn and soybeans for the 2024/25 season.
Corn yields were revised down by 2.1%, while soybean yields fell by 1.9%, resulting in lower production estimates.
These changes, combined with only slight adjustments to consumption, pointed to tighter supplies and contributed to rising prices in both markets.
Kansas, Indiana, and Minnesota saw the sharpest declines in corn yields, while soybean yields were most affected in Kansas, Tennessee, and Indiana.
Cotton Faces Setbacks
Cotton had a tough day in the reports. Despite an uptick in production due to favorable growing conditions in Texas, export projections were downgraded by 30 million bales, contributing to a 9% increase in ending stocks.
The U.S. was overtaken by Brazil as the world’s leading cotton exporter for the second year in a row. Cotton prices have dropped by nearly 15% from the previous year, with further declines expected as demand continues to falter.
Winter Wheat Acreage Sees Regional Shifts
Winter wheat planting is projected to increase by 2.2% to 34.1 million acres in 2025. However, this increase is not evenly distributed across the U.S. Kansas and Oklahoma, the top two winter wheat-producing states, saw reductions in acreage.
In contrast, states like Montana, Texas, South Carolina, and Michigan experienced substantial acreage increases, with some states reporting increases of over 30% in planted winter wheat acres.
Photo Credit: usda
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