2019 Feed and Forage Market Conditions

USDA released a slew of delayed crop data last week which provide an update to feed and forage market conditions for livestock markets. The 2018 corn crop was pegged at 14.42 billion bushels, down 1.3 percent from the 2017 crop but still the third largest U.S. corn crop ever. A carryover of 1.74 million bushels is projected for the end of the crop year. The 2018/2019 average crop year farm price of corn is currently projected at $3.60/bushel, up from $3.36/bushel for the 2017/2018 crop year. Soybean production for the 2018/2019 crop year is a record 4.54 billion bushels. Large soybean production, combined with severe soybean export disruption, leads to a huge projected soybean carryover of over 900 million bushels and a crop year average price of $8.60/bushel, down from $9.33/bushel for the 2017/2018 crop year. Overall, concentrate and protein feed supplies are expected to be large keeping ration costs moderate for livestock producers. Hay production has been difficult to assess the past year, perhaps nowhere more so than in the southern plains. Waves of variable growing conditions in 2018, ranging from severe drought to excessive rainfall, made it hard to determine both quantity and quality of hay. Total U.S. hay production was down 3.4 percent compared to 2017. In Oklahoma, 2018 hay production was down 9.2 percent and in in the surrounding region, Texas was down 12.3 percent year over year; Arkansas was down 16.3 percent; Missouri was down 9.6 percent and Kansas was down 13.0 percent. For the…

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